Coller Capital and Hahn & Company (“Hahn & Co.”) have closed the largest GP-led transaction in Asia. The transaction is for Ssangyong C&E Co., Ltd (“Ssangyong”, or the “Company”), an industry-leading Korean cement manufacturer that is actively expanding into waste management businesses.
The transaction’s total size is approximately $1.5bn. Coller Capital and its co-investors were the largest investor group and co-led the transaction alongside another leading global secondary player, while Hahn & Co., deploying funds into the Company for the third time, is committing a significant amount of capital. The mix of investors in the continuation vehicle formed for this GP-led transaction is intended to help ensure strong alignment among all of the transaction’s counterparties.
Ssangyong is one of Hahn & Co.’s most successful investments to date, and the transaction demonstrates its continuing long-term relationship with the Company. The Company continues to deliver on Hahn & Co.’s core investment theses of: (i) strengthening the Company’s leading position through market consolidation; (ii) divesting the Company’s non-core assets to improve operational efficiency; and (iii) strategically transforming the Company into Korea’s leading waste management group.
“We are excited to co-lead this transaction partnering with a blue-chip firm such as Hahn & Co. and to be investing in one of Hahn & Co’s trophy assets,” said Peter Kim, Partner and Head of Asia at Coller Capital. “Our first-hand expertise in Korea, together with our strong relationship with Hahn & Co., have enabled us to undertake extensive due diligence and execute this large, complex transaction. We look forward to utilizing our expertise further to develop the private capital secondary market in Korea”
“This partnership with Coller Capital and a leading global secondary player represents an important milestone in Korea private equity and is evidence of how private equity firms can be successful, long-term owners of businesses with the ability to transform companies and industries,” said Scott Sang-Won Hahn, CEO of Hahn & Co.