The Carlyle Group and Eurazeo Have Granted Exclusivity to LBO France for the Acquisition of Terreal Group

Paris, France - The Carlyle Group and Eurazeo are entering into exclusive negotiations with LBO France for the acquisition of 100% of Terreal Group for a total enterprise value of €860 million.

Terreal is a leading manufacturer of clay building materials and is active in four main product groups including roofing, structural bricks, facing brick and decorative products. Terreal is the number two player in the French clay roof tile market, with a 35% market share in 2004.

The Carlyle Group and Eurazeo acquired Terreal in October 2003 from Saint Gobain.

The Carlyle Group is a global private equity firm with nearly $30 billion under management. Carlyle invested in Terreal through Carlyle Europe Partners II, a $2.2 billion fund dedicated to European buyouts. Carlyle has completed 22 leveraged buyouts in Europe since 1997 including eight in France through its two buyout funds, CEP I and CEP II. In Europe, there are 40 investment professionals in the buy-out team based in five offices (Paris, Munich, Milan, Barcelona and London).

Eurazeo is the largest listed investment company in France with a €4 billion diversified asset base and a market capitalization of €3.8 billion. Eurazeo’s investment philosophy focuses on majority shareholding and private equity investments in France.

Eurazeo’s share is listed on Euronext Paris’ Eurolist (ISIN : FR0000121121, Bloomberg : RF FP, Reuters : EURA.PA).

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