AZ Electronic Materials plans London IPO

AZ Electronic Materials, which makes certain chemicals for use in flat panel computers, is planning to raise about $400 million in an initial public offering in London, the company announced. AZ Electronic Materials is backed by private equity firms Carlyle Group and Vestar Capital Partners, with each holding 41.8 percent. The company said it will use the funds to repay debt and realize funds for its investors.

(Reuters) – AZ Electronic Materials, a maker of speciality chemicals used in flat panels such as in Apple’s iPad tablet computer, said on Friday it would list in London, raising about $400 million.

Private equity firms Carlyle Group and Vestar Capital Partners each own 41.8 percent stakes in AZ, with the remainder owned by management.

The company said it would use the funds raised to repay debt, and realise funds for its investors.

The company supplies leading makers of integrated circuits and flat panel displays, including Samsung , Toshiba and Hynix , and recorded revenue of $610.6 million and adjusted core earnings of $200.3 million in the 12 months to end-June.

Chief Executive Geoff Wild said AZ was at the forefront of innovation at the world’s leading manufacturers of advanced semiconductor chips, flat panel displays, LEDs and new solar power devices.

“The proposed IPO will provide added impetus to the development of the company, enabling AZ to pursue new business opportunities in large and potentially high-growth markets that leverage our existing expertise and capabilities,” he said in a statement.

UBS Investment Bank, Goldman Sachs and Deutsche Bank are joint sponsors and bookrunners for the offer.

(Reporting by Paul Sandle; Editing by Victoria Bryan)