Close Brothers advised the Executive Board of MAN Ferrostaal on the Sale of a 70% Stake to IPIC

Frankfurt/Main, 6 April 2009

The International Petroleum Investment Company of Abu Dhabi (IPIC) has taken over 70% of the shares of MAN Ferrostaal AG, Essen, from MAN AG, Munich, retroactive as per 1 January 2008. The concept of IPIC is to act as a long term investor who has never sold any of its portfolio companies since its inception in 1984. Close Brothers acted as exclusive financial adviser to the Executive Board of MAN Ferrostaal during the transaction.

The partnership enables MAN Ferrostaal to realise substantial growth opportunities particularly in the Middle East. Due to MAN Ferostaal’s profound competence and long-term experience IPIC intends to open up market access and award contracts for large industrial projects to MAN Ferrostaal particularly in the areas of oil processing, petrochemicals, pipelines, power stations and energy-intensive industries. Furthermore, MAN Ferrostaal shall support IPIC in renewable energy, for example by way of solar-powered power stations. MAN Ferrostaal will continue henceforth as an independent company, retaining its present structure.

Background information on MAN Ferrostaal AG

MAN Ferrostaal is a global provider of industrial services in plant construction and engineering. As a general contractor in plant construction, the company offers project development, project management and financial planning for turnkey installations, including petrochemical plants, gas and solar power stations, oil and gas installations, biofuels and industrial plants. MAN Ferrostaal operates as an independent sales and service partner in the automotive, printing and packaging machinery, piping and marine construction sectors, employing around 4,400 people in 60 different countries. In 2008, its annual turnover amounted to €1.6 billion. The majority of the shares of MAN Ferrostaal is held by the International Petroleum Investment Company from Abu Dhabi (IPIC, 70%). MAN AG, Germany, is a minority shareholder (30%).
www.manferrostaal.com

Background information on IPIC

IPIC was founded in 1984 with first investments following in 1988. To date, IPIC has invested in eleven strategic partnerships and has retained all of these partnerships with a capital investment value of well over USD 15 billion. The companies belonging to its portfolio are: OMV (17.6%), Cosmo Oil Co Ltd (20%), Borealis (65%), AMI Agrolinz Melamine International (50%), Oman Polypropylene LLC (20%), Hyundai Oilbank (70%), Compania Espanola De Petroleos/CEPSA (9.5%), Pak-Arab Refinery/Parco (30%), Arab Petroleum Pipelines/Sumed Company (15%), Energias de Portugal (2%) and Gulf Energy Maritime/GEM (30%), MAN Ferrostaal (70%) and Oil Search Limited (17.6%).
www.ipic.ae

Background information on MAN Group

The MAN Group is one of Europe’s leading industrial players in Transport-Related Engineering, with revenue of approximately €15 billion in 2008. As a supplier of trucks, buses, diesel engines, turbo machinery, and special gear systems, MAN employs approximately 51,300 people worldwide. Its business areas hold leading positions in their respective markets. MAN AG, Munich, is listed in the DAX (German Stock Index), which comprises Germany’s thirty leading stock corporations.
www.man.eu

Background information on Close Brothers

Close Brothers is Europe’s largest, independent investment bank focused exclusively on mid-market transactions. Close Brothers GmbH, Germany, and Close Brothers AG, Switzerland, are part of Close Brothers Group plc., the LSE listed UK investment bank. Close Brothers has 2,500 employees worldwide of which more than 150 are based in Germany and Switzerland. Close Brothers International has a global presence with offices in all important financial centres in Europe, Asia and the USA. Close Brothers offers independent corporate finance advice in four areas: Mergers and Acquisitions, Corporate Restructuring, Debt Advisory and dedicated advice to the Private Equity industry. Furthermore, Close Brothers, along with Close Brothers Seydler Bank AG, Frankfurt, is one of the leading Designated Sponsors at the German stock exchange.
www.closebrothers.de and www.closebrothers.ch