The EQT X fund (“EQT”) and Zeus Firm, Inc., in the present day collectively introduced that they’ve entered into an settlement for EQT to accumulate Zeus Firm Inc (“Zeus” or the “Firm”) from the Tourville household. Based in 1966, Zeus is a pioneer within the design, improvement, and extrusion of fluoropolymer tubing for medical units and choose industrial purposes. EQT additionally introduced that John Groetelaars, former CEO of Hillrom and EQT Industrial Advisor, will function Zeus’ Government Chairman upon closing of the transaction.

For greater than 50 years, Zeus has delivered progressive and mission-critical parts that enhance the efficacy and efficiency of extremely advanced catheters, that are utilized in life saving, minimally invasive medical procedures, amongst different purposes. The Firm is headquartered in Orangeburg, South Carolina, with eight amenities throughout the USA and one in Letterkenny, Eire. Zeus employs roughly 2,400 folks globally and serves over 300 clients in additional than 100 nations, together with main medical system producers, contract system manufacturing organizations, tutorial establishments, and industrial clients throughout aerospace, semiconductors, and automotive, amongst different industries.  

Zeus’ parts allow the supply of minimally invasive interventional procedures, which drive considerably higher well being outcomes than conventional open surgical procedures, together with sooner affected person restoration and decreased ache, at decrease value. Zeus has skilled substantial progress as a number one innovator in polymer-based options. As populations age and continual circumstances grow to be extra prevalent, growing demand for precision, high-performance catheters to help therapeutic areas together with structural coronary heart, peripheral and neurovascular interventions, is anticipated to proceed fueling Zeus’ progress.

EQT will help Zeus with investments in further capability, R&D, and operational excellence, to help the quickly rising medical fields that leverage minimally invasive applied sciences. These investments will allow the Firm to proceed its legacy and status of partnering with its purchasers’ analysis and improvement teams to stay on the forefront of subsequent technology applied sciences.

Ethan Waxman, Accomplice inside EQT Personal Fairness’s Advisory Workforce, stated: “EQT has tracked the medical system part trade intently for a number of years, and we consider Zeus is uniquely positioned inside the finish markets it serves as a consequence of its unmatched materials science and course of experience. We’re excited to accomplice with the Firm and spend money on its subsequent section of progress, its workers, and the communities it serves, whereas sustaining Frank Tourville Sr.’s values and dedication to excellence, that are shared by EQT.”

Steve Peterson, President and CEO of Zeus, added: “We’re excited to affix the EQT household. Zeus has gained vital momentum in recent times as a consequence of a strategic world growth plan. This acquisition accelerates that momentum and progress by supporting future growth, new product innovation, course of enhancements, technological transformation, and enhanced capabilities.”

John Groetelaars stated: “I’m thrilled to embark on this journey with Zeus and EQT to construct upon the Firm’s spectacular legacy and best-in-class, differentiated product portfolio. We’re dedicated to strengthening the partnerships with the shoppers that Zeus serves and increasing capability via investments, operational upgrades, and progress from new product improvements. Within the near-term, we intend to increase amenities and add personnel to extend manufacturing on behalf of our clients, and we’re excited to take care of our standing as a key employer in the communities the place we function.”

As one of many world’s main healthcare traders, EQT invests in progressive firms which can be addressing a few of the most important challenges in healthcare in the present day, starting from life science startups to scaled world companies,” stated Eric Liu, Accomplice, Head of North American Personal Fairness and Co-Head of World Healthcare. “This acquisition represents a extremely thematic funding for EQT, given our longtime give attention to the medical expertise trade and our expertise partnering with family-founded companies. With EQT’s deep experience and broad community of advisors within the healthcare sector, we look ahead to persevering with our monitor file of making differentiated worth for all stakeholders.”  

The transaction is anticipated to shut in Q1 2024, topic to regulatory approvals and customary closing circumstances.

Piper Sandler Firms acted as monetary advisor to EQT Personal Fairness and Simpson Thacher & Bartlett LLP offered authorized counsel. Goldman Sachs & Co. LLC acted as monetary advisor to Zeus and Freshfields Bruckhaus Deringer LLP offered authorized counsel. The Personal Credit score enterprise inside Goldman Sachs Asset Administration will function the Administrative Agent and lead lender within the Senior Secured financing to help the transaction.

With this transaction, EQT X (goal fund dimension of EUR 20.0 billion and a tough cap of EUR 21.5 billion) is anticipated to be 25-30 p.c invested (together with closed and/or signed investments, introduced public affords, if relevant, and fewer any anticipated syndication) primarily based on its goal fund dimension.