Global law firm Dentons advised Draslovka, a Czech-based family-owned global leader in CN-based specialty chemicals, on its strategic partnership with funds managed by Oaktree Capital Management, L.P. Oaktree will invest US$150 million in Draslovka providing preferred equity capital to support the Draslovka Group’s growth strategy.
Oaktree’s investment in Draslovka comes on the heels of the company’s recent acquisitions of Chemours’ Mining Solutions business (completed in December 2021) as well as the signed (but not yet completed) acquisition of the Sasol South Africa Limited’s Sodium Cyanide business. Dentons advised both on the Chemours and the Sasol’ deals.
Commenting on the transaction, Dentons’ partner, Petr Zákoucký, said: “I am very happy when we can leverage the talent of Dentons’ top lawyers worldwide to help Czech businesses succeed abroad. Raising equity by means of hybrid equity is becoming more and more popular in this process. On top of this, the story of Draslovka is a great inspiration. Based in Kolín, Czech Republic, Draslovka has developed unique technologies and know-how and leveraged it to acquire far larger competitors globally. Oaktree’s equity investment will help Draslovka to push this vision one step further.”
Pavel Brůžek, Chairman of the Board of Directors of Draslovka, said, “The strategic partnership with Oaktree marks another significant milestone on our ambitious growth strategy. Dentons’ team has guided us with confidence on several transactions, and their skills and dedication are an essential part of the success we have delivered to date.”
M&A Partners Petr Zákoucký (Prague), Rob Irving (Budapest/Prague), Ilan Katz (New York), Namik Ramić (Luxemburg) and Nik Colbridge (London) led the cross-border team working on this equity raise, which included Prague-based Ivo Hartmann, Vojtěch Novák, Michal Pelikán, Lucie Kubínyiová, Barbora Obračajová, Anna Urbanová, Petr Kotáb, Jan Tylš, Justina Bodláková, Martin Fiala, Vojtěch Laga, Tomáš Jonáš, Jana Málková Želechovská, Tomáš Pavelka, Adam Přerovský, Danylo Romashko and Petr Mueller and Luxembourg-based Namik Ramić and Clémence Personne.
Dentons provided comprehensive legal advisory, while PwC is acting as financial and tax advisor.
