Taylor Wessing advises LEO III Fund on takeover of Tokai Erftcarbon

Led by Munich-based partner Sven Schweneke, Taylor Wessing provided comprehensive legal advice to Lenbach Equity Opportunities III GmbH & Co KG ("LEO III"), a fund managed by DUBAG Group, on the acquisition of Tokai Erftcarbon GmbH ("Tokai Erftcarbon"). Tokai Erftcarbon is a leading German manufacturer of graphite electrodes and belongs to Tokai Carbon Co., Ltd. ("Tokai Carbon"), which is listed on the Tokyo Stock Exchange. The transaction is still subject to regulatory approvals, including merger control clearance, and is expected to be completed in the second quarter of 2025.

The acquisition follows Tokai Carbon's strategic decision to focus on its core regions and markets. As part of this realignment, Tokai Carbon conducted a competitive auction process to find a suitable new owner for Tokai Erftcarbon. The LEO III fund emerged as the preferred bidder.

About the DUBAG Group and LEO III Fund

The DUBAG Group was founded in 2009, is based in Munich and is a fast-growing investment company that manages the LEO III private equity fund. The fund invests in medium-sized companies in special situations, such as corporate spin-offs, turnarounds, succession planning in family businesses, complex financing structures and tail-end situations for financial investors. The LEO III fund pursues a pan-European investment strategy with a particular focus on the DACH region and Italy.

About Tokai Carbon Co. Ltd.

Tokai Carbon was founded in 1918 and has been the market leader for high-quality carbon and graphite products for over 100 years. The company supplies numerous global customers in a wide range of industries such as steel, automotive, semiconductors and electronic components. Tokai Carbon has a global network in 11 countries in Asia, Europe and North America. Tokai Carbon had consolidated sales of 350,114 million yen and total assets of 640,753 million yen for the year ended 31 December 2024. Tokai Carbon is listed on the Tokyo Stock Exchange.

Legal Advisor LEO III Fund

Taylor Wessing Germany: Sven Schweneke (lead) and Laurenz Kiefer (both Private Equity, Munich); Dr Philip Cavaillès (M&A, Munich); Dr Adrian Birnbach (Real Estate, Munich); Dr Stefan Horn (Regulatory, Hamburg), Dr Michael Brüggemann, Marieka Müller-Steinmann and Tim Hendricks (all Regulatory, Düsseldorf); Julia Siedhoff (Restructuring, Munich); Julian Ludwig and Manuel Franzmeier, (both Tax, Frankfurt)