Silverfleet announces sale of OREFI

Silverfleet Capital, a mid-market private equity specialist, has reached an agreement in principle to sell OREFI Participation (“OREFI”), a leading European distributor of industrial parts, to Investcorp. Since 1998, OREFI has been owned by a group of investors led by Silverfleet Capital. The transaction, which is subject to approval by the European competition authorities, is expected to close by the end of June 2006. The terms of the transaction were not disclosed.

Founded in 1987, OREFI distributes a wide range of industrial products through its own network of 90 branches in France and The Netherlands. It has a product range of some 350,000 items that include power transmission equipment, cutting tools and abrasives, welding equipment, hand and power tools, handling equipment, fixings and adhesives and personal protection equipment. Its extensive network and highly skilled workforce results in fast customer response times and value added services. OREFI employs 1,240 people in France and The Netherlands. The company’s 2005 turnover was €293.5 million.

Commenting on the investment, Pierre Pouletty, President and Chief Executive Officer of OREFI, said:

“We are grateful to our current shareholders, led by Silverfleet Capital, whose support has enabled us to pursue an aggressive acquisition strategy over the past seven years. We are now looking forward to embarking upon our new phase of development. The outlook is highly positive for OREFI, its employees, customers and business partners alike.”

Silverfleet Capital Director Jean-Lou Rihon said:

“This is a great transaction for Silverfleet. Apart from the financial aspects of this sale, we are very proud to have supported OREFI during this significant period of development in France and The Netherlands. We wish Pierre Pouletty and his team much deserved success in the realisation of their objectives going forward.”

Further information on OREFI is available at www.orefi.fr