Clariant to take over German Süd-Chemie AG for EUR2bn
Muttenz/Munich – Swiss chemistry specialist Clariant AG had made a 2bn bid for Munich-based catalysis and adsorbents specialist Süd-Chemie aimed at taking over the controlling majority from two groups of stockholders. The transaction, which is based on definite agreements with One Equity Partners who hold 50.4% of Süd-Chemie’s shares and the family shareholders (46%), is still subject to clearance by competent merger control authorities. When the deal goes through, Clariant will bag more than 95% of the outstanding shares. Süd-Chemie has a strong R&D pipeline that addresses future needs of the chemistry industry. The company has developed a economically promising approach in advanced development stage to generate cellulosic ethanol from the world’s most common straw feeds – rice straw, corn stover and bagasse. The Sun Liquid process, which has been proven economically feasible at pilot scale, is ready to be tested in a demonstration plant later this year. The company aimed at licensing out the technology world-wide as entry point to plant-based C-2 chemistry building blocks for manufacture of bulk bioplastics such as polyethylene, polypropylene or polyvinyl chloride. As a global leader in process catalysis and adsorbents Süd-Chemie provides the missing link between chemical process engineering and biocatalysis. In 2010, the Munich-based company had a turnover of EUR1.225 billion and EBITDA of EUR 191 million. After the acquisition of Danish Danico by US chemistry giant DuPont, Süd-Chemie has become is the second strategic target involving a world-leading biotechnology product pipeline. The issue of new shares is subject to approval at the Clariant general meeting on March 31, 2011.