MUTTENZ, SWITZERLAND (Jan. 2, 10:30 a.m. ET) — Clariant, the Swiss-based specialty chemicals group, has sold off a number of its non-core operations to a U.S. private equity firm for 502 million Swiss francs ($550 million).
Hariolf Kottmann, Clariant's chief executive, said the sale of the group's textile chemicals, paper specialties and emulsions businesses to SK Capital marked “a significant milestone in the execution of [our] profitable growth strategy, after the acquisition of Süd-Chemie in 2011.”
Kottmann added: “I am pleased that we are able to execute this divestment faster than originally expected. By the end of 2013, Clariant will be an even more profitable company than today, generating a majority of sales in non-cyclical growth businesses.”
The three businesses were expected to generate 1.2 billion francs ($1.31 billion) in sales in 2012, around 15 percent of Clariant's total sales, and estimated earnings before interest, tax, depreciation and amortization (Ebitda) of 80 million francs ($87.7 million).
Barry Siadat, a managing director at SK Capital, said his firm was delighted to partner with the management and employees of the three businesses, “to build upon their strong technology, brand, and leading market positions to more efficiently serve their large and growing global markets and customers.
“We believe these businesses provide an attractive platform to capitalize on their overlaps in technology, manufacturing, supply chain and logistics.”
SK Capital specializes in investments in the specialty materials, chemicals and healthcare sectors.