AkzoNobel sell speciality chemicals business €10.1 billion

AkzoNobel to sell speciality chemicals business for €10.1 billion

4:10 PM, 27th March 2018
AkzoNobel to sell speciality chemicals business for €10.1 billion

AMSTERDAM, NETHERLANDS: AkzoNobel NV announced the sale of 100 percent of its speciality chemicals business to The Carlyle Group and GIC, for an enterprise value of €10.1 billion.

This transaction creates two focused and high performing businesses – paints and coatings, and speciality chemicals – as part of its strategy announced in April 2017. The transaction is expected to be completed before the end of 2018.

The board of management and the supervisory board concluded that a private sale to The Carlyle Group and GIC is in the best interests of AkzoNobel, speciality chemicals and its respective stakeholders, including employees, shareholders and customers. This is the outcome of a thorough dual-track process during which the boards of AkzoNobel carefully considered both a legal demerger and a private sale.

The Carlyle Group has a global presence and the financial capacity to enable the speciality chemicals business to achieve its full potential. Carlyle has extensive experience investing in chemicals, unlocking long-term potential and creating value in its portfolio companies. 

As a responsible investor Carlyle is focused on driving growth, job creation and long-term financial success. The firm also has a strong focus on environmental, social and governance (ESG) aspects and building positive working relationships with wider stakeholders (employees, unions and local communities).

“We are very pleased to announce the sale of speciality chemicals to The Carlyle Group and GIC. We believe the business is well positioned to capture growth opportunities and further improve performance. Carlyle has significant experience in the chemicals industry and a proven track record when it comes to health, safety, innovation and sustainability,” said Thierry Vanlancker, CEO AkzoNobel.

“We are pleased to invest in the speciality chemicals business and proud to support a business with such a strong heritage. We are committed to growing the business, and building upon its innovation capability, high-quality workforce and asset base, as well as its world-class sustainability and environmental practices. We look forward to working with the management team to transition the business to a successful independent company,” added Martin Sumner and Zeina Bain, managing directors at The Carlyle Group.

“Speciality chemicals is a strong and profitable business with highly skilled and motivated employees serving our customers every day with essential chemistry. As a focused chemical company, we will concentrate our efforts and resources to accelerate profitable growth. With this transaction, our business has an opportunity to achieve its full potential and we will continue to fulfil the current and future needs of our customers throughout the world,” added Werner Fuhrmann, CEO of AkzoNobel speciality chemicals.

© Worldofchemicals News 

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