By Sophie Sassard
LONDON, Feb 12 (Reuters) - British private equity firm 3i has sold plastic equipment maker Mold-Masters to U.S.rival Milacron for 615 million pounds ($963 million) as part ofits debt-reduction disposal plan.
Under pressure from frustrated shareholders to cut its 1.2billion pound ($1.88 billion) debt to less than 1 billion poundsby June, 3i had said it will focus on asset disposals to achievethis goal and boost its weak share price.
Proceeds from the deal announced on Tuesday will be about219 million pounds ($343 million) - 2.6 times 3i's initial 84million pound investment in the Canadian designer andmanufacturer of advanced hot-runner systems, temperaturecontrollers and auxiliary equipment for the plastics industry.
Since 3i's investment, Mold-Masters has accelerated itsorganic growth in Asia, Europe and South America and also made anumber of add-on acquisitions to expand its geographical reachand product offering.
Between 2009 and 2012, the company increased turnover by61.3 percent, to C$ 271 million ($269 million) from C$168million.
The transaction is expected to close by April, subject toregulatory approvals.
Other 3i disposals could include French medical diagnosticsbusiness Labco, UK software company Civica and German-Danishferry operator Scandlines, according to a note from LiberumCapital.