Clariant, a sustainable and innovative specialty chemical company, has completed the sale of its entire masterbatches business to PolyOne. The enterprise value of the sale, which consists of separate transactions for Clariant’s global masterbatches business and its masterbatches business in India, amounts to approximately USD 1,560 million which is equivalent to c. 12.2 times the last twelve months reported EBITDA (ending September 2019).
“With this completed transaction, Clariant takes another significant step towards becoming a pure-play specialty chemical company. By focusing on its three core Business Areas Care Chemicals, Catalysis and Natural Resource, Clariant intends to deliver above-market growth, higher profitability and stronger cash generation. Having successfully sold masterbatches and healthcare packaging, our target is now to progress with the divestment of our pigments business,” said Hariolf Kottmann, Clariant’s executive chairman ad interim.
As a consequence of the completed divestment of the masterbatches business, as well as the anticipated divestment of the pigments business, Clariant will now proceed as soon as practicable with an extraordinary cash distribution of CHF 3.00 per share to its shareholders. Clariant’s Board of Directors has set the ex-date to 6 July 2020, the record date to 7 July 2020, and the payment date of the extraordinary distribution will be 8 July 2020. As previously announced, remaining net proceeds from the intended divestment will be used to invest in innovations and technological applications within the core business areas and to strengthen Clariant’s balance sheet.