Cinven, a private equity firm, has sealed roughly Eur1 billion in financing. The amount came from Deutsche Bank, RBC and UBS for the company's Eur1.5 billion buyout of industrial ceramics firm, CeramTec. This was stated by a banking source on Monday.

Over the weekend, Cinven said that it had decided to buy CeramTec. It had also beaten rival equity firm BC Partners in biddings for the Germany based industrial ceramics unit owned by US chemicals maker, Rockwood Holdings.

Bankers said that the rest of the deal has been funded through equity.

Before interest, taxes, depreciation and amortization, Ceramtecs's approximated debt will equate seven times the company's Eur135 million earnings.

CeramTec is a leading manufacturer of high quality ceramics. The company caters to clients in the medical, automotive, industrial and electronic markets. In 2012, it received a total of Eur425 million. It has more than 3000 workers with 18 facilities worldwide.