NEW YORK, Feb. 7, 2018 /PRNewswire/ -- Cerberus Capital Management, L.P. today announced that an affiliate has entered into an agreement to acquire Cyanco Holding Corp. from funds managed by Oaktree Capital Management, L.P. ("Oaktree"). Cyanco is the largest global producer of sodium cyanide, a critical input in the gold and silver mining industry. Terms of the transaction, which is subject to customary conditions to closing, were not disclosed.
For the past three decades, Cyanco has been a trusted partner to the gold and silver mining industry, providing leading technology, best-in-class service, and exceptional safety in the application of sodium cyanide for precious metals mining. The company currently has manufacturing facilities in Nevada and Texas and delivery terminals in Wyoming, Quebec, and Mexico, enabling Cyanco to efficiently and reliably deliver its products to customers throughout the Americas and around the world.
"We are pleased to acquire Cyanco, an industry leader with a reputation for safety, reliability, and customer service," said Dev Kapadia, Managing Director of Cerberus. "We believe in Cyanco's proven business model, which has demonstrated positive, sustainable growth due to its long-term customer contracts, strong cash flow, and leading competitive position in the attractive sodium-cyanide market. We look forward to working with the management team at Cyanco to provide expansion capital and operational expertise to accelerate the company's successful growth strategy."
Cass Traub, Managing Director of Oaktree added, "This transaction marks the next logical stage in Cyanco's evolution. After working alongside management for the past nine years, we have every confidence that Cerberus and management will create an even greater Cyanco enterprise."
"We are proud to partner with Cerberus, whose industrial sector experience and industry-leading Operations Team will be instrumental in driving Cyanco's next phase of growth," said Jeffrey Davis, President and CEO of Cyanco. "This transaction will strengthen our position as the North American leader in supplying superior products, services, and technology to customers in the gold and silver mining industry. Cerberus's long-term partnership will enable further investment in our people, business processes, and manufacturing operations for the benefit of our partners and customers who count on us for our reliability and efficiency."
About Cerberus Capital Management, L.P.
Established in 1992, Cerberus Capital Management, L.P. is a global leader in alternative investing with more than US $34 billion under management across complementary credit, private equity, and real estate strategies. From its headquarters in New York City and network of affiliate and advisory offices in the U.S., Europe, and Asia, Cerberus has the on-the-ground presence to invest in multiple asset classes globally.
Headquartered in Pearland, TX, Cyanco is the largest global producer of sodium cyanide with manufacturing facilities in Nevada and Texas serving customers in North America, Latin America, and Africa. Cyanco's Applied Technology provides consulting services, laboratory support, and cyanide processing technologies to assist customers in optimizing their metal recoveries and sodium cyanide usage throughout the mine lifecycle. Cyanco prides itself on its commitment to safety, and is one of the original signatories to the International Cyanide Management Code (ICMC) and is represented on the Industry Advisory Group to the International Cyanide Management Institute. All of Cyanco's facilities are ICMC certified.
Oaktree is a leader among global investment managers specializing in alternative investments, with $100 billion in assets under management as of December 31, 2017. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high yield debt and senior loans), control investing, convertible securities, real estate and listed equities. Headquartered in Los Angeles, the firm has over 900 employees and offices in 18 cities worldwide. For additional information, please visit Oaktree's website at http://www.oaktreecapital.com.
SOURCE Cerberus Capital Management, L.P.