Clariant to focus on its core high value specialty businesses
- Due to the current market conditions, Clariant and SABIC decided to temporarily suspend the negotiations regarding the intended formation of the Business Area High Performance Materials
- The decision was taken to safeguard the best interests of the respective shareholders of both companies
- Clariant will focus on its existing core Business Areas Care Chemicals, Catalysis and Natural Resources and will continue to concentrate on providing best customer experience and fast, reliable customer fulfillment
- Divestment of Pigments is unaffected and will continue as previously announced
- Clariant decided to also dispose of the entire Masterbatches business to maximize value creation potential
Muttenz, July 25, 2019 – Clariant and SABIC have agreed to temporarily suspend the discussions on the intended business combination High Performance Materials (HPM), consisting of Clariant’s Additives and high value Masterbatches and parts of SABIC’s Specialties business.
Given the current market conditions, both parties have decided that temporarily suspending the negotiations is in the best interests of the respective shareholders of both companies.
As part of the portfolio upgrade announced in September 2018, Clariant will continue with the divestment of the Pigments business and has decided to also divest the entire Masterbatches business including both, standard and high value Masterbatches. These divestments are expected to be concluded unchanged by end 2020.
The proceeds from the divestments will be used to invest in innovations and technological applications within the core Business Areas, to strengthen Clariant’s balance sheet and to return capital to shareholders.
The new Clariant will benefit from a stronger focus on differentiated, customer-specific products and offerings with attractive growth prospects and above average value potential. With this more streamlined portfolio structure Clariant will be better able to intensify the focus on customer experience and fast, reliable customer fulfillment, as well as on the development of innovative and sustainable products and applications. This will generate a competitive advantage for customers and hence enable Clariant to realize above-market growth, higher profitability and stronger cash generation.
This information corresponds to the present state of our knowledge and is intended as a general description of our products and their possible applications. Clariant makes no warranties, express or implied, as to the information’s accuracy, adequacy, sufficiency or freedom from defect and assumes no liability in connection with any use of this information. Any user of this product is responsible for determining the suitability of Clariant’s products for its particular application.<br /> <br /> * Nothing included in this information waives any of Clariant’s General Terms and Conditions of Sale, which control unless it agrees otherwise in writing. Any existing intellectual/industrial property rights must be observed. Due to possible changes in our products and applicable national and international regulations and laws, the status of our products could change. Material Safety Data Sheets providing safety precautions, that should be observed when handling or storing Clariant products, are available upon request and are provided in compliance with applicable law. You should obtain and review the applicable Material Safety Data Sheet information before handling any of these products. For additional information, please contact Clariant.<br /> <br /> * For sales to customers located within the United States and Canada the following applies in addition: No express or implied warranty is made of the merchantability, suitability, fitness for a particular purpose or otherwise of any product or service.<br /> <br /> © Trademark of Clariant registered in many countries.<br /> ® 2019 Clariant International Ltd