Chemical groups Clariant, Huntsman merge in $14 billion deal
Canadian Plastics
MaterialsThe deal creates a global specialty chemicals company – called HuntsmanClariant – that is 52 per cent own by Clariant shareholders.
Chemical makers Clariant and Huntsman Corporation are combining to create a chemical manufacturer with a market value of more than US$14 billion.
The deal creates a global specialty chemicals company that is 52 per cent own by Clariant shareholders, Clariant said in a statement.
The merged company will be named HuntsmanClariant. Huntsman CEO Peter Huntsman will become CEO of the combined company, while Clariant CEO Hariolf Kottmann will become chairman. The combined company will be headquartered in Clariant’s home country of Switzerland, although its operational centre will be in Woodlands, Texas, which is the headquarters of Huntsman.
“This is the perfect deal at the right time,” Kottmann said in a statement. “Clariant and Huntsman are joining forces to gain much broader global reach, create more sustained innovation power and achieve new growth opportunities. Peter Huntsman and I share the same strategic vision and I look forward to working with him.”
Under Kottmann’s leadership, Clariant has restructured in recent years, divesting underperforming businesses including textile and paper chemicals in 2012. In 2015, the firm’s plastics and coatings business became a separately managed entity.
Plastics and coatings will be an integral part of the new company, Clariant’s statement said.
The transaction is targeted to close by the end of 2017.
