MOSCOW (MRC) -- BASF, the world's petrochemical major, has announced that its US affiliate, BASF Corporation, has entered into an agreement to commence a cash tender offer for all of the outstanding shares of common stock of the biotechnology company Verenium Corporation for USD4.00 per share, according to the company's press release.
Based on all outstanding shares and including all net financial liabilities, the enterprise value would be approximately USD62 million (approximately EUR48 million). Verenium is based in San Diego, California, and generated sales of USD57 million in 2012.
The offer corresponds to a premium of 56% above the volume-weighted average share price for Verenium’s shares in the six months prior to announcement of the transaction. The tender offer is subject to customary closing conditions, including the acquisition of a majority of Verenium’s shares outstanding as of the closing of the tender offer.
The acquisition is expected to close in the fourth quarter of 2013. BASF will finance the transaction out of operating cash.
The transaction has been unanimously approved by the Boards of Directors of both companies. Each of the directors and certain officers of Verenium have entered into support agreements and will tender all their shares.
Combining Verenium’s scientific and technological excellence with BASF’s enzyme activities and its global access into all relevant markets will strengthen BASF’s footprint in the strategic enzyme growth market.
Enzymes are proteins that act as catalysts, enabling or accelerating biological and chemical processes. They are used in the development of sustainable solutions in a variety of applications, e.g. detergents, human and animal nutrition.
As MRC wrote previsouly, BASF has recently inaugurated its new research facilities in Research Triangle Park (RTP), North Carolina at a grand opening ceremony. This USD33 million expansion includes 80,000 square feet of office, laboratory and greenhouse facilities.
Earlier this year, the company set up a new Coatings Technical Competence Center ASEAN in Bangkok, Thailand. This new facility supports technical and laboratory activities mainly in motorcycle coatings including technology transfer, product development, performance testing, color design and development.
BASF is the largest diversified chemical company in the world and is headquartered in Ludwigshafen, Germany. BASF produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.