India’s Sudarshan Chemical Industries (SCIL) has entered into a definitive agreement to acquire the Heubach Group in a move that it said would “create a global pigment company, combining SCIL’s operations and expertise with Heubach’s technological capabilities”.  Terms were not disclosed.

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

Clariant has agreed to sell 80% of its Pigments business to a consortium made up of German pigments specialist Heubach Group and private investment firm SK Capital Partners, which owns many other chemical industry operations. This should close in 1H 2022.