M&As: Clariant completes the sale of its Healthcare Packaging business; Avantium partners with R&F to market PEF applications in South Korea

Swiss chemicals firm Clariant has completed the sale of its Healthcare Packaging business to a newly-formed investment of Arsenal Capital Partners, the signing of which was announced on July 22, 2019. The sale was closed on October 31, 2019.

“The divestment of the Healthcare Packaging business is the first step of our announced strategy to become a more focused and innovative specialty chemical company,” said Hariolf Kottmann, Executive Chairman of Clariant.

The total consideration of the sale amounts to approximately CHF308 million, which is equivalent to 13.2 times adjusted FY 2018 EBITDA.

In other news, Avantium Renewable Polymers and R&F Chemical plan to collaborate on developing a market for PEF in electronics and smart packaging in South Korea.

The partnership is an expansion of the existing relationship between the two companies: previously, in 2018, the catalysis business unit of Avantium joined forces with R&F Chemical to boost its business in South Korea.

This partnership is a further validation of Avantium’s strategy to focus on high-value applications for PEF (polyethylene furanoate) for its 5 kilotonne-flagship plant with a planned opening in 2023.

PEF is a 100% plant-based and fully recyclable performance polymer based on Avantium’s proprietary YXY plants-to-plastics technology. R&F Chemical brings a long-standing network in polymers and chemicals in South Korea, which has an advanced performance materials and chemical sector. Through R&F Chemical, Avantium expects to enter this market for applications such as electronics and smart packaging.

Marcel Lubben, Managing Director of Avantium Renewable Polymers, comments: “Avantium Renewable Polymers sees fast-growing interest for PEF in high-value markets across the globe. R&F Chemical is highly respected as a leader in the development and marketing of high-performance sustainable plastics. The South Korean industry is deeply committed to innovation. We are therefore very pleased to enter into a partnership with R&F Chemical who brings us access to important market players in South Korea.”

Peter Park, CEO of R&F Chemical, adds: “We are honoured to work together with Avantium to make Avantium’s PEF available to high-value performance products in South Korea. PEF has the capacity to significantly improve the performance and sustainability of our customers' end products.”

(PRA)

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