The multinational oil and chemical company, Royal Dutch/Shell has taken a further step towards concentrating on its core activities of mineral oil and petrochemicals: Shell´s 50% holding in Europe´s biggest plastic pipe system producers, Wavin B.V. (HQ: NL-8000 AD Zwolle) is being sold to CVC Capital Partners. This decision is linked to the sell-off of Shell´s PVC business to the Japanese Shin Etsu Group (see Plasteurope.com 20, 1998). The WMO (Water Company of the Dutch Province of Overijssel) has taken the decision to retain its 50% share in Wavin.

CVC Capital Partners is an independent equity provider in Europe with current funds under management totalling in excess of USD 4bn. CVC specialises inter alia in MBOs, where it claims to be Europe´s No. 1. CVC will be paying some NLG 700m to purchase the share in Wavin. CVC is also intending to make further acquisitions in the plastics pipe market.

Wavin is expecting sales of NLG 1.7 bn for the 1998 financial year (around DEM 1.5 bn). Net earnings in the first half of 1998 rose 20 percent to NLG 19.3m. Wavin´s current payroll is 4500, at more than 35 sites in 21 European countries, and it also has holdings in companies in Australasia.