Clariant continues transition with Masterbatches sale
Clariant has agreed to sell its entire Masterbatches business to PolyOne in a deal that values the business a $1,560 million. This deal, including a legally separate one for the Indian part, is expected to close in Q3 2020, subject to customary closing conditions and regulatory approvals.
“This announcement is a significant milestone on our path to focussing on businesses with above-market growth, higher profitability and stronger cash generation,” said executive chairman Hariolf Kottmann.
In 2015, Clariant set out a strategy of concentrating on its Care Chemicals, Catalysis and Natural Resources business areas. To this end, it has already sold its Healthcare Packaging business and plans to sell Pigments within 2020. The proceeds will be used to invest in the core businesses, strengthen the balance sheet and return capital to shareholders.
Separately, Global Amines Company (GAC), Clariant’s 50-50 joint venture with agribusiness group Wilmar International, has announced plans to build a third tertiary amines plant at Gresik, near Surabaya, Indonesia. This will mainly supply the regional personal care and home care sectors. GAC already has plants in Germany and China.
The site is located within the world’s largest integrated oleochemical site and also near to its feedstocks. It will thus be able to source RSPO-certified palm oil derivatives, the two companies said.