Clariant completes Pigments exit
Clariant has completed the previously announced sale of most of its Pigments business to Heubach Group and SK Capital Partners, completing its transformation into a speciality chemicals firm. The business has about 3,000 employees and revenues of €1 billion/year.
The deal gives Pigments a base enterprise value of CHF 805 million, subject to closing accounts adjustments and before a potential earn-out payment of CHF 50 million depending on its financial performance in 2021. Clariant has retained a 20% stake in the new holding company. in order to profit from its future growth
The net cash inflow amounts to around CHF 615 million. Clariant intends to use this “to invest into growth projects within the core business areas, execute the strategy along sustainability and innovation, fund the performance improvement programmes, as well as strengthen Clariant’s balance sheet to reach and defend a solid investment rating”.