Cytec Industries shareholders today approved Solvay’s (Brussels) $6.4-billion takeover of the company.
The deal received support from 99.3% of the votes cast, with a total of 84.1% of outstanding shares voted. Cytec expects the deal to close in December pending satisfaction or waiver of remaining closing conditions, including US national security reviews and approvals.
Cytec and Solvay are working with the US Department of Defense Security Service (DSS) on a detailed foreign ownership, control or influence (FOCI) mitigation agreement, Cytec says. Written approval from DSS to operate Cytec’s business pursuant to a FOCI mitigation arrangement is a closing condition for the deal.
The deal has cleared the US antitrust review waiting period and applicable filings with respect to foreign antitrust or competition laws have been completed by Cytec and Solvay and the related conditions to closing in Israel, Mexico, South Korea, Turkey and Ukraine have been satisfied, Cytec says.
The deal marks a bet by Solvay on sustained growth in automotive and aerospace carbon fiber–based composites, Cytec’s core businesses. Aerospace materials account for half of Cytec’s sales, and the company forecasts annual growth of 8–10% over the new few years, citing significantly higher composite use on new planes, increasing passenger traffic, increasing air freight, and a growing commercial order backlog.
The broader adoption of carbon fiber composites in automotive is also expected to boost composites’ demand through the end of the decade, and Cytec has worked with automotive original equipment manufacturer partners to develop technologies to enable the mass production of cars using composites. Industrial materials, which includes composites for automotive, accounted for 16% of Cytec sales in 2014.
By Robert Westervelt
Source: Chemical Week
During a European Industry Summit held on the site of BASF in Antwerp, leaders from basic industry sectors, representing 7.8 million workers in Europe, joined forces with European trade unions and European leaders to address pressing concerns regarding Europe’s industrial landscape.
The use of blue or low-carbon hydrogen, made from natural gas with carbon capture and storage (CCS), could increase near-term global warming by 50% compared with burning fossil fuels directly for energy if emissions are not properly managed, according to a new study by NGO the US Environmental Defense Fund (EDF) and the University of Arizona.
In a move to improve the supply of renewable hydrogen and thus reduce dependence on natural gas and contribute to achieving the objectives of the European Green Deal and the REPowerEU plan, the EU Commission has approved a third Important project of common European interest (IPCEI) to support hydrogen infrastructure.