MOSCOW (MRC) -- Ashland Inc. and Clariant announced they have completed the previously announced sale of their joint venture, ASK Chemicals GmbH headquartered in Hilden, Germany, to investment funds affiliated with Rhone, a London and New York-based private equity investment firm, said Jeccomposites.
The enterprise value of the transaction, before debt and assumed liabilities, amounts to EUR257 million. After adjusting for debt and assumed liabilities, total pre-tax proceeds to the sellers were EUR149 million, which includes EUR128 million in cash and a EUR21 million buyer note. Proceeds will be split evenly between Ashland and Clariant under terms of the 50/50 joint venture.
With 1,800 employees in 25 countries, ASK Chemicals is a leading foundry chemicals manufacturer. Its portfolio encompasses an exceptionally broad and innovative range of foundry resources such as binders, coatings, feeders, filters and release agents, as well as metallurgical products including inoculants, inoculation wires and master alloys for iron casting. In 2013, ASK Chemicals generated annual revenues of EUR513 million.
Ashland Inc. provides the specialty chemicals, technologies for a wide variety of markets and applications, including architectural coatings, automotive, construction, energy, food and beverage, personal care, pharmaceutical, tissue and towel, and water treatment.
As MRC reported earlier, this summer, Clariant and Tasnee, one of the largest industrial conglomerates in Saudi Arabia, signed an agreement to establish a masterbatches joint venture in Saudi Arabia. Clariant's Masterbatches business unit is a recognized global leader in color and additive concentrates and performance solutions for plastics.
Clariant Chemicals (India) Limited and custom color and additive products with production of more than 10,000 color matches which are completed each year. With more than 50 manufacturing plants around the world, Clariant
Masterbatches products, technology and service deliver competitive advantages that foster long-term customer relationships.