I D
× COMMENTARYIN THE NEWSNEWSFRONTSCHEMENTATOR + Show More
Chemical Engineering MagazineChementator Briefs
Solar desalination Researchers at Rice University (Houston, Tex.; www.rice.edu) working…
BUSINESS NEWSTECHNICAL & PRACTICALFEATURE REPORTFACTS AT YOUR FINGERTIPSTECHNOLOGY PROFILESOLIDS PROCESSINGEQUIPMENT & SERVICESFOCUSNEW PRODUCTS + Show More

Comment Business & Economics

Lanxess to acquire DSM Elastomers

By Gerald Ondrey |

Lanxess AG (Leverkusen, Germany; www.lanxess.com) and Dutch company Royal DSM N.V. (Heerlen, the Netherlands; www.dsm.com) have reached an agreement in principle involving the sale of DSM Elastomers to Lanxess for €310 million on a cash and debt-free basis. DSM Elastomers produces the synthetic rubber ethylene propylene diene monomer (EPDM) under the brand name Keltan.  The price for the DSM Elastomers business represents an EBITDA multiple of roughly six based on the expected EBITDA of 2010. The acquisition will be financed by Lanxess out of existing liquidity and is expected to be EPS accretive as of 2011. The transaction contracts will be finalized once a consultation process with the employees’ representatives of DSM in the Netherlands has been completed. The transaction is subject to approval from antitrust authorities. Closing is expected in the first months of 2011. “We look forward to welcoming DSM’s professional EPDM team as well as its impressive assets to our core synthetic rubber activities,” says Axel C. Heitmann, Lanxess CEO. “The transaction will also be an important step towards our goal of achieving roughly €1.4 billion EBITDA pre exceptionals in 2015.” Feike…
Related Content

Chemical Engineering publishes FREE eletters that bring our original content to our readers in an easily accessible email format about once a week.
Subscribe Now
Quadruple Sensor Lifetime with a Retractable Housing
Minimizing Explosion Risk Where Other Solutions Cannot
Minimizing Corrosion with Fast, Robust Gas Analysis
Lower Measurement Point Costs with Automatic pH Sensor Cleaning
Reduce the Risk of Corrosion in Fertilizer Production

View More

Live chat by BoldChat