Levy & Salomão helps close Brazilian packaging deal
Levy & Salomão Advogados and Demarest e Almeida Advogados have helped Ileos do Brasil Participações, a Brazilian subsidiary of the French company Ileos, acquire a controlling stake in Mappel Indústria de Embalagens, a packaging company.
The deal closed on 1 July for an undisclosed amount.
José Setti Diaz, partner at Demarest e Almeida Advogados, says the two-step acquisition structure means the buyer will gain 100 per cent of the company.
"During the transition period, the sellers are aligned to increase the value of the company, which demonstrates that 'earn-out' structures can be used by strategic buyers as good as they fit to private equity firms," he explains.
The deal was significant to Ileos's expansion in Latin America, says Daniel Tardelli Pessoa, partner at Levy & Salomão Advogados.
"From the legal standpoint, the challenging parts were to build both the legal framework for a partnership between a global group and an individual entrepreneur [Marion Appel, founder of Mappel] and the legal treatment of several synergies arising out of the transaction."
