Evonik to Sell Methacrylates Business for $3B
Specialty chemicals company Evonik (Essen, Germany) announced earlier this week that it has agreed to sell its Methacrylates business to private equity firm Advent International, which is headquartered in Boston.
Evonik has reportedly agreed to sell the business for 3 billion euros ($3.39 billion), which, according to the company, is 8.5 times the business’ EBITDA.
The Methacrylates business has 18 production sites and 3,900 employees worldwide. From 2016-18, the business generated an average annual EBITDA of about 350 million euros and sales of about 1.8 billion euros per year. For 2019, Evonik expects sales and EBITDA at a similar level.
The transaction includes the Methacrylates, Acrylic Products and CyPlus business lines, and some of the methacrylate resins activities.
Evonik put these operations on the market as part of its strategy of sharpening its focus on specialty chemicals.
According to the company, Advent International is one of the most experienced financial investors in the chemical industry world, with more than 30 investments over three decades.
The deal is still subject to approvals by authorities in several countries and is expected to close in the third quarter of this year.