Clariant, a world leader in specialty chemicals, has signed an agreement to divest its Detergents & Intermediates business to International Chemical Investors Group (ICIG). The total consideration of the sale amounts to CHF 58 million, out of which 20 million will be in cash at closing. The transaction is subject to regulatory approvals.
"Having successfully closed the sale of the first three businesses two weeks ago, the divestment of Detergents & Intermediates marks the next step in streamlining our portfolio", CEO Hariolf Kottmann said. "Once completed, the repositioning of the portfolio will allow the group to focus on exploiting its strong market positions and intensify growth by focusing on customers and innovation."
"The Clariant Detergents & Intermediates business ideally complements our fine chemicals and custom manufacturing operations, providing also the basis for a new detergents platform together with our U.S. hydrotropes & batch sulfonation business of Nease Corp." says ICIG Managing Director Achim Riemann. "Together with the recently announced acquisition of Allessa we expect to realize signifcant synergies in the Rhein Main region, expecting to grow ICIG combined sales to more than EUR 1.2 billion", says ICIG Managing Director Patrick Schnitzer.
Repositioning the company's portfolio is an essential part of Clariant's profitable growth strategy. To achieve the targets set for 2015, Clariant 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 this context, the company has divested the Business Units Textile Chemicals, Paper Specialties and the Business Unit Emulsions on 30 September 2013 and signed an agreement for the Business Unit Detergents & Intermediates. With the planned divestment of the Business Unit Leather Services, the repositioning of Clariant's portfolio will be completed in the coming quarters.
In 2012, the Detergents & Intermediates business generated around CHF 280 million in reported sales. The business employs around 660 employees in Europe, predominantely in Germany and France.