29 May 2020
- Simon Tinkler, Katherine Moir, Simon Thomas, David Robson, Jennifer Storey, Calum McKeen, James Koessler, Isabella Lessi, Olivia Higgs
Clifford Chance advises Clayton, Dubilier & Rice on its investment in SIG PLC, one of the first UK PIPEs since 2009
International law firm Clifford Chance has advised Clayton, Dubilier & Rice ("CD&R"), the U.S. based private investment firm, on its investment in LSE-listed SIG plc, a leading distributor of specialist building products in Europe.
As a result of the investment, which is part of a significant equity raise by SIG, CD&R will become a new cornerstone investor in the £2 billion revenue company with an approximate 25% interest and two seats on the board. CD&R's investment, alongside the company's wider equity raise, will support the company to execute its new strategic growth plan, unveiled today.
CD&R's investment in SIG is one of the first high profile "private investment in public equity" (PIPE) transactions in the UK since 2009, given the traditional complexities around share issuances and the long-held preference for pre-emptive offerings. Completion of the investment is subject to shareholder approval, antitrust clearances and satisfactory amendments to the company's financing facilities being agreed.
Clifford Chance has a longstanding relationship with CD&R and advised the firm on its £525 million acquisition of Huntsworth PLC, a leading provider of specialty services that help pharmaceutical and biotech companies, which announced in March 2020.
The deal demonstrates the strength of Clifford Chance's cross-practice offering and its ability to advise on complex matters during the coronavirus pandemic. The team was led by Private Equity and Global Relationship Partner Simon Tinkler, Corporate Partner Katherine Moir, and Capital Markets Partner Simon Thomas, supported by Corporate Senior Associate Calum McKeen and Associates Isabella Lessi and Olivia Higgs, and Capital Markets Senior Associate James Koessler. The finance aspects were led by Partner David Robson and the antitrust aspects by Partner Jennifer Storey.