OTPP Signs Agreement to Buy Bridon from Melrose Industries
Posted on 10/14/2014
The Ontario Teachers’ Pension Plan (OTPP), through its unit Teachers’ Private Capital, acquired UK–based wire rope manufacturer Bridon Ltd for £365 million. OTPP bought the Doncaster-based company from Melrose Industries PLC. Melrose owned Bridon since 2008. Formed in 1924 by a collection of wire rope makers, Bridon designs, manufactures and sells rope to customers in a variety of industries such as oil & gas, mining, industrial, marine and infrastructure.
Part of the deal includes Melrose contributing £6.7 million into the Bridon Group Pension Scheme. Melrose plans to use the sale proceeds to pay down current borrowings and finance a return of capital.
Rothschild was the lead financial advisor to Melrose, while Nomura assisted on certain parts of the deal. The deal is expected to close before the end of the year.
Keywords: Ontario Teachers Pension Plan.
