TAGS: Environmentally Friendly Coatings
Nouryon has signed an agreement to acquire the carboxymethyl cellulose (CMC) business of J.M. Huber Corporation.
The transaction aims to broaden Nouryon’s portfolio of products in CMC, a sustainable, bio-based water-soluble polymer used as a thickener, binder, stabilizer and film former. The companies have largely complementary positions in CMC end markets, which include home and personal care, mining, food, pharmaceuticals, and paper and packaging.
Investment Strategy
The acquisition underlines Nouryon’s strategy to invest in growth markets, including bolt-on acquisitions. The business manufactures a complete line of CMC grades and serves customers in over 80 countries, generating sales of around €135 million. The company is equipped with a world-class manufacturing facility and an advanced R&D facility located at Äänekoski, Finland.
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We’d like to thank our employees in the CMC business for their many years of service to J.M. Huber Corporation and their strong dedication to the Huber Principles, especially our values of safety, environmental sustainability, and operational excellence,” says Mike Marberry, CEO & president of J.M. Huber Corporation. “
We are very pleased that Nouryon, which shares our core values, will become the new strategic owner of this business and continue to provide excellent products and services to our long-standing CMC customers.”
Moelis & Company LLC acted as an exclusive financial advisor to Nouryon and Latham & Watkins LLP acted as a legal advisor. J.M. Huber Corporation was advised by Citi as an exclusive financial advisor and DLA Piper as a legal advisor.
The transaction is expected to close in the second quarter of 2020, and is subjected to regulatory approvals.
Source: Nouryon