Secondary Buyout • Metals/Mining

Castle Harlan Acquires RathGibson

On February 13, 2006, private equity firm Castle Harlan acquired metals/mining company RathGibson from Liberty Partners for 260M USD

Acquisition Context
  • This is Castle Harlan’s 1st transaction in the Metals/Mining sector.
  • This is Castle Harlan’s 9th largest (disclosed) transaction.
  • This is Castle Harlan’s 23rd transaction in the United States.
  • This is Castle Harlan’s 3rd transaction in Illinois.
Investment Fate
  • RathGibson was sold to a financial buyer in 2007 for 440M USD.
  • RathGibson was sold to a consortium of financial buyers in 2010.
  • RathGibson was sold to a publicly-traded strategic buyer in 2012.

Explore All 47 Secondary Buyout Metals/Mining Deals - Search the Database Free


M&A Deal Summary

Date February 13, 2006
Target RathGibson
Sector Metals/Mining
Buyer(s) Castle Harlan
Sellers(s) Liberty Partners
Deal Type Secondary Buyout
Deal Value 260M USD

Target Company

RathGibson

Lincolnshire, Illinois, United States
RathGibson, Inc. is a manufacturer of high–performance welded austenitic stainless steel and specialty alloy tubing. RathGibson tubing is chosen where strength, durability and resistance to heat and corrosion are crucial. Representative end uses occur in industries such as oil and gas production and exploration, power generation, food and dairy, pharmaceuticals, biotechnology, petrochemicals and semiconductors.
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Buyer Overview 1

Buyer

Castle Harlan

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1987
PE ASSETS 6.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Castle Harlan is a large private equity firm that targets private company investments in the US and Australia. Castle Harlan targets businesses in a wide range of industries that include, packaging, industrial services, manufacturing, restaurants, business services, distribution, publishing, and transportation. Castle Harlan can provide both equity and mezzanine capital. The Firm is affiliated with Australian private equity firm CHAMP Private Equity, and together formed CHAMP - Castle Harlan Australian Mezzanine Partners. Castle Harlan was formed in 1987 and is based in New York City.


Deal Context for Buyer #
Overall 31 of 48
Sector: Metals/Mining 1 of 2
Type: Secondary Buyout 8 of 17
State: Illinois 3 of 3
Country: United States 23 of 36
Year: 2006 1 of 6
Size (of disclosed) 9 of 22
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-12-01 AUSTAR Entertainment Pty

Brisbane, Australia

AUSTAR Entertainment Pty Ltd (Formerly Austar United Communications Ltd) the largest subscription television operator in regional and rural Australia. AUSTAR provides subscription television services in a service area of approximately 2.4m homes, one-third of Australia's total homes, primarily using digital satellite technology. AUSTAR also operates a digital cable network in Darwin.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2006-03-11 Baker & Taylor

Charlotte, North Carolina, United States

Baker & Taylor Corp. is a supplier of books, videos (DVDs/VHS) and music to both the institutional and retail markets. The institutional market consisted primarily of public libraries, school libraries (K-12) and academic (college and post graduate) libraries. Retail markets included national chains, online retailers, independent book, video and music stores and non-traditional book retailers.

Buy $455M

Seller Profile 1

SELLER

Liberty Partners

New York, New York, United States

Investor Investor


Category Private Equity Firm
Founded 1992
PE ASSETS 1.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Liberty Partners is a private equity investment firm that targets controlling or substantial-minority investments in North American companies. Liberty looks for opportunities in manufacturing, business services, and education-related companies and seeks to invest $20 to $75 million of equity capital per transaction. Target businesses generally have at least $50 million in revenues and at least $6 million in EBITDA. Prospective transaction types include leveraged buyouts, corporate divestitures, recapitalizations, going-privates, build-ups, and growth financings. Liberty Partners was formed in 1992 and is based in New York City.


Deal Context for Seller #
Overall 14 of 32
Sector: Metals/Mining 1 of 1
Type: Secondary Buyout 4 of 9
State: Illinois 2 of 2
Country: United States 14 of 32
Year: 2006 1 of 2
Size (of disclosed) 2 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-10-01 Chartwell Education Group

New York, New York, United States

Chartwell Education Group, LLC is a provider of education-related consulting services to state and local government, foundations, corporations, and even countries seeking American education as a model.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2006-04-13 The Step2 Co.

Streetsboro, Ohio, United States

The Step2 Co. LLC is a designer, manufacturer, and marketer of large format, rotationally molded children’s and home products sold under the Step2 brand. The Company’s product line includes kitchen playsets, playhouses, climb and slide activities, sandboxes, water play activities, riding products, and creative furniture, as well as mailboxes, storage sheds, gardening/landscaping products, and refuse containers. The Step2 was founded in 1991 and is based in Streetsboro, Ohio.

Buy -