8 July 2014
Details
Kemira
has reached a preliminary agreement to
acquire AkzoNobel's global paper chemicals business.
The parties will also enter into a distribution agreement for
AkzoNobel's colloidal silica business
for retention and drainage applications for the paper industry.
The closing of the intended transaction is expected
in the first quarter of 2015 and
is subject to customary closing conditions,
including completion of employee consultation proceedings and
approvals of competition authorities in certain countries.
The Enterprise Value of the transaction for
AkzoNobel's paper chemicals business is
EUR 153 million.
AkzoNobel's paper chemicals business includes
products for retention and sizing, as well as
other paper chemicals, including
wet strength and coating products.
In 2013, revenues of the purchased paper chemicals business
were EUR 243 million
(EMEA 40%, Americas 30% and APAC 30%).
Over 50% of the revenues
were related to the packaging board grades.
Operative EBITDA of the purchased business in 2013 was
EUR 23 million.
Kemira expects more than EUR 15 million of annual synergies
by the end of 2016 with the acquisition.
Jari Rosendal,
Kemira's President and CEO.
"Kemira is the global leader
in the development, application expertise and
supply of chemicals for the pulp and paper industry.
This acquisition is a major step in implementing
our growth strategy and
it significantly enhances our position,
especially in the packaging and board industry and
strengthens our presence in the Asia-Pacific region.
This also demonstrates our commitment to
the industry by diversifying our offering
to our customers around the world.
AkzoNobel's paper chemicals are a great fit for Kemira,
and we expect to achieve significant technological and
financial business synergies,"
Ton Büchner
AkzoNobel CEO
" We are very pleased to
announce this preliminary agreement.
Kemira is a well-established player in this market and
with the sale of our Paper Chemical business
we are following through with our strategy to
focus on leading position,"
"This divestment enables our
Pulp and Performance Chemicals business
to focus on its core activities."
WWW.CHEMWINFO.COM BY KHUN PHICHAI
