Groupe Vulcanic acquires RS Isolsec Paris, Wednesday August 29, 2001

Groupe Vulcanic, a European leader in industrial electro-heat technology held by AXA Private Equity, acquired all the stock of RS Isolsec, a French leader in the design, manufacture and marketing of low- and medium-voltage instrument transformers, in an LBO transaction on July 26.

The sale was managed by Dôme Close Brothers. Advised by that investment bank, the President of RS Isolsec, Patrick Chaix and a group of financial investors (3i, Rel, IPO, BNP Paribas and Crédit Lyonnais Capital Investissement) actually sold Elsys, the holding company and 100% owner of Rs Isolsec which they had acquired in a 1995 LBO transaction.

In that transaction, the company increased capital and took on additional debt. The majority of Groupe Vulcanic is held by AXA Private Equity (85%), the investment management company within the AXA Group specializing in unlisted investments. The managers of Groupe Vulcanic maintain an equity stake of approximately 15%.

Patrick Chaix will remain President of RS Isolsec and will become Director of Vulcanic Finances (the holding company which controls Groupe Vulcanic), of which he is also a shareholder.

Consistent with its policy of expansion in high value-added niche segments, this acquisition completes Groupe Vulcanic's product line in current and voltage transformers.
Groupe Vulcanic recorded sales of FRF 260 million (€ 39.7 million) in 2000.

This new phase will provide RS Isolsec with additional resources to consolidate its national leadership and continue its international expansion.

In 2000, RS Isolsec posted sales of FRF 46.8 million (€ 7.1 million).

Website: www.vulcanic.com

AXA Private Equity: Philippe Poletti, Mathieu Antonini
Dôme Close Brothers: George Elliston, Philipe Croppi, Alborz Sabountchian
Vulcanic: Jean-Paul Cousseau, Michel Materna, Didier Chretien
Rel: Laurent Allegot
3i: represented by the Santoni firm (to be confirmed)
Attorneys for the sellers: Xavier Roguet (Dutoit, Fouques, Carluis & Partners)
Attorneys for the buyers: Nomos (Jean-François Pourdieu, Valérie Dixneuf)
Bankers: KBC Bank (Stéphane Monnier, Yves Brault)

About Dôme Close Brothers

Dôme Close Brothers is the mergers and acquisitions firm affiliated with the British merchant bank Close Brothers Corporate Finance Ltd, listed on the London stock exchange.
Dôme Close Brothers specializes in managing medium-sized or complex transactions which include a trans-border dimension.
Website: www.dome-cb.com

Press contacts:

Dôme Close Brothers
Céline Lagabrielle clagabrielle@pro-file-presse.com
Delphine Canard dcanard@pro-file-presse.com
ProFile Finance
65, rue de Sèvres
92100 Boulogne
Tel.: +33 1 46 05 12 67