Key Takeaways
- • Busan Equity Partners has agreed to acquire NexFlex Co., South Korea's largest flexible copper-clad laminate (FCCL) maker, from MBK Partners in a deal valued at about 900 billion won ($670 million), according to the primary report.
- • MBK Partners retains a 17% stake in NexFlex following the transaction, per the headline reporting from KED Global.
- • Affirma Capital, a Singapore-based private equity firm, joins the transaction by providing junior debt financing.
- • NexFlex's sale process drew multiple bidders over several months, including a four-way alliance of Taekwang Industrial, ITEK, Shinhan Securities and Busan Equity Partners, and Affirma Capital.
- • NexFlex supplies FCCLs used in smartphones, and MBK originally acquired the company for about $407 million, according to earlier coverage in the cluster.
Summary
South Korean private equity firm Busan Equity Partners has agreed to acquire NexFlex Co., a flexible copper-clad laminate (FCCL) manufacturer, from MBK Partners in a transaction worth about 900 billion won ($670 million), according to KED Global. The report states that MBK Partners retains a 17% stake in the company after the deal closes. Affirma Capital, a Singapore-based private equity firm, participates in the transaction through junior debt financing.
NexFlex is South Korea's No. 1 producer of flexible copper-clad laminates, a material used in smartphones. The company's sale process attracted a range of bidders. Earlier coverage in the cluster reported that a four-way alliance of Taekwang Industrial Co., ITEK Inc., Shinhan Securities Co. and Busan Equity Partners had emerged as a new contender. Affirma Capital was also reported to have entered the bidding, according to people familiar with the process. MBK Partners had earlier postponed the main bid deadline, and denied that the delay was linked to turmoil at its portfolio company Homeplus, according to cluster reporting.
MBK Partners had originally agreed to buy NexFlex for about $407 million, citing high growth potential in the FCCL industry driven by strong smartphone demand, according to earlier cluster coverage. The current transaction therefore implies a substantially higher valuation than MBK's original entry price, though the cluster sources do not provide a full reconciliation of the figures. Additional details on financing structure, closing timeline and regulatory approvals were not available in the source material reviewed.
NexFlex is South Korea's No. 1 producer of flexible copper-clad laminates, a material used in smartphones. The company's sale process attracted a range of bidders. Earlier coverage in the cluster reported that a four-way alliance of Taekwang Industrial Co., ITEK Inc., Shinhan Securities Co. and Busan Equity Partners had emerged as a new contender. Affirma Capital was also reported to have entered the bidding, according to people familiar with the process. MBK Partners had earlier postponed the main bid deadline, and denied that the delay was linked to turmoil at its portfolio company Homeplus, according to cluster reporting.
MBK Partners had originally agreed to buy NexFlex for about $407 million, citing high growth potential in the FCCL industry driven by strong smartphone demand, according to earlier cluster coverage. The current transaction therefore implies a substantially higher valuation than MBK's original entry price, though the cluster sources do not provide a full reconciliation of the figures. Additional details on financing structure, closing timeline and regulatory approvals were not available in the source material reviewed.
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