Following the revelation in March that it was reviewing strategic options for the unit, the UK building material supplier SIG has put its air handling business up for sale.
SIG has mandated Lazard to find a buyer for the unit following the completion of the review. While the sale process is yet far advanced, preliminary talks have already been held with a number of unnamed private equity companies. SIG is looking to raise around £200m from the disposal, which would eradicate the company’s net debt. It follows a number of smaller disposals over the last three years.
SIG’s air handling unit in one of Europe’s leading specialists in indoor air filtering, operating across 10 countries in Europe from more than 100 sites. It generated turnover of £316m last year and management expects that to grow by more than 5% this year. The company operates across the spectrum of activities in providing safe, clean, energy-efficient indoor air, from distribution to project management and customer support.
There has also been occasional speculation that SIG might put the entire company up for sale, but sources downplay that as an early probability and the company declines to comment at present.