Imerys Completes Acquisition of Luzenac Group

PARIS, August 1, 2011 -

Imerys has completed today the acquisition of 100% of the Luzenac Group from Rio Tinto. With sales of approximately USD395 million in 2010, Luzenac Group is the world leader in talc processing. This mineral is used in many technical applications such as polymers, paints, ceramics and paper, in a wide range of end markets (industrial equipment, construction and consumer goods etc.). It will therefore strengthen Imerys leadership and product offering.

This acquisition has been paid in cash for an enterprise value of USD340 million (€232 million), representing a multiple of EBITDA in line with historical multiples paid by Imerys. Luzenac Group will be part of the Performance & Filtration Minerals business group and will be fully consolidated as of August 1, 2011. Current market conditions prevailing, this transaction is expected to create value by achieving a return on capital employed above the Group’s weighted average cost of capital from 2013 onwards.

The world leader in adding value to minerals, Imerys is active in 47 countries through more than 240 industrial and commercial sites.
The Group achieved more than €3.3billion in sales in 2010. Imerys develops solutions that improve its customers‘ product performance and manufacturing efficiency, thanks to minerals it mines and processes from reserves with rare qualities. The Group‘s products have a great many applications in everyday life, including construction, personal care, paper, paint, plastic, ceramics, telecommunications, beverage,
filtration, etc.

More comprehensive information about Imerys may be obtained from its Internet website (www.imerys.com) under Regulated Information, particularly in its Registration Document filed with Autorité des marchés financiers on March 31, 2011 under number D.11-0205 (also available from the Autorité des marchés financiers website, www.amf-france.org).Imerys draws the attention of investors to chapter 4, “Risk Factors“, of its Registration Document.

Warning on projections and forward-looking statements:This document contains projections and other forward-looking statements. Investors are cautioned that such projections and forward-looking statements are subject to various risks and uncertainties (many of which are difficult to predict and generally beyond the control of Imerys) that could cause actual results and developments to differ materially from those expressed or implied.

    
Analyst/Investor Relations
Pascale Arnaud - +33(0)1-49-55-63-91
shareholders@imerys.com            

Press Contacts:
Pascale Arnaud - +33(0)1-49-55-63-91
Matthieu Roquet-Montégon - +33(0)6-16-92-80-65

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