2013 Exhibitions
Specialty chemicals firm Clariant is selling its textile chemicals, paper specialties and emulsions businesses to US-based investments firm, SK capital.
The deal, which will accord the three business units to SK capital for an estimated CHF 502 million - 460 million of which is in cash, or equivalent to 6.3 times the estimated full year 2012 recurring EBITDA of these units , is expected to close by the end of the second quarter of 2013.
Clariant’s CEO Hariolf Kottmann says that the divestment is a profitable growth strategy for the Swiss firm following its acquisition of Sud Chemie in 2011 and is expected to help further increase its profitability in non-cyclical growth businesses.
Aiming to hit the target set for 2015, Clariant says it will focus on markets with future perspectives and strong growth rates and on businesses that have a competitive position, resulting in strong pricing power. In lieu of this, the company has announced in early 2012 to look for strategic options for the Business Units Textile Chemicals, Paper Specialties and the Business Line Emulsions until year-end 2013. Also subject to this process but in a second phase are the Business Unit Leather Services and the Business Line Detergents & Intermediates.
In 2012, the divested businesses will generate an estimated CHF 1.2 billion in sales, equaling approximately 15 % of total group sales, and an estimated EBITDA of CHF 80 million. The three businesses employ around 3,000 employees (14% of total workforce) in 35 countries worldwide.
(PRA)
