Sector News

Synthomer to acquire Omnova Solutions for an enterprise value of $824 million

July 3, 2019
Energy & Chemical Value Chain

Synthomer said today that it had entered into a definitive agreement to acquire Omnova Solutions for an enterprise value of £654 million ($824 million), including $473 million in shares and $351 million of debt. The transaction has been approved unanimously by the Omnova and Synthomer boards.

Synthomer is offering Omnova $10.15/share, a premium of 58% to Omnova’s closing price on Tuesday, and it is targeting annualized pre-tax cost savings of $29.6 million by the end of the third year after the deal is completed. Completion is subject to closing conditions, including the receipt of regulatory approvals, and approval from Synthomer’s and Omnova’s shareholders. The transaction is not contingent on obtaining financing and it is expected to close in late 2019 or early 2020.
Omnova reported sales of $769.8 million last year. It operates two business segments, specialty solutions and performance materials, with 63% of sales last year derived from the specialty solutions segment and 37% from the performance materials unit.

Synthomer is a top-five worldwide supplier of emulsion and specialty polymers, producing formulations for industries ranging from construction through paints and coatings and healthcare. The group has approximately 2,900 employees and had revenue of £1.6 billion last year.

By Natasha Alperowicz

Source: Chemical Week

comments closed

Related News

February 25, 2024

Antwerp Declaration for a European Industrial Deal: industry leaders call for 10 urgent actions to restore competitiveness and keep good jobs in Europe

Energy & Chemical Value Chain

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.

February 25, 2024

Blue hydrogen could contribute 50% more to global warming than fossil fuels

Energy & Chemical Value Chain

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.

February 25, 2024

EU approves €6.9 Billion state aid for 33 hydrogen projects

Energy & Chemical Value Chain

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.

How can we help you?

We're easy to reach