SABIC to acquire 24.9% of Clariant
SABIC has agreed to acquire around 83 million shares in global specialty chemicals company Clariant, representing a 24.9% stake.
With the acquisition of this stake in Clariant from 40 North and Corvex Management, SABIC is set to become the majority shareholder in Clariant.
The acquisition represents another key milestone in SABIC's diversification strategy, and is part of the company’s long-term growth strategy to remain committed to product differentiation.
Complementary to SABIC's existing specialties business, Clariant is in line with the company’s strategy of establishing new growth opportunities in specialty chemicals.
40 North Co-CIO David Winter said: "SABIC is an established global leader in the chemicals industry with a world-class management team and a long-term, sophisticated vision for the future.
“We are confident that this transaction allows Clariant to continue on its path to becoming a global specialty chemicals leader."
At present, SABIC has no plans to launch or contribute to a complete takeover of Clariant.
Both companies already have a successful relationship in their joint venture, Scientific Design, a process technology and catalyst development company.
40 North Co-CEO David Millstone said: "We have been significant shareholders of Clariant since 2016. SABIC's strategic investment in Clariant is a successful outcome and we are pleased to have played a role in making it possible."
The closing of the acquisition is subject to completing regulatory approvals.