Arkema to Acquire US Company ArrMaz

22nd May 2019

Arkema to Acquire US Company ArrMaz

French specialty chemicals group Arkema plans to acquire US company ArrMaz in a deal worth $570 million on an enterprise-value basis. The purchase price corresponds to an EV/EBITDA multiple of 10.8 times, Arkema said.

ArrMaz is a global leader in specialty surfactants for crop nutrition, mining and infrastructure markets with sales of $290 million and an 18% EBITDA margin. It employs 400 people and operates nine manufacturing sites around the world.

According to Arkema, the acquisition is part of its long-term ambition to achieve over 80% of sales in specialties by 2023.

ArrMaz will be integrated in Arkema’s Performance Additives division, which belongs of the group’s High Performance Materials segment.

The takeover is expected to have an accretive impact on cash and earnings per share from the first year of integration, the French chemical manufacturer added.

Significant synergies, mostly to purchasing and commercial complementarities between Arkema and ArrMaz, are expected to amount to approximately $15 million by 2023.

Completion of the transaction is expected in the summer of 2019, subject to approval by relevant antitrust authorities.

Photo: © Arkema / Bruno Mazodier
French specialty chemicals group Arkema plans to acquire US company ArrMaz in a deal worth $570 million.

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