Solenis (Wilmington, Del.) and Clearon Corp. have announced that Solenis has entered into a definitive agreement to acquire Clearon. This acquisition will enable Solenis to expand its portfolio of products for the residential and commercial pool water and spa treatment markets.
Clearon produces trichloroisocyanuric acid (trichlor) and dichloroisocyanuric acid (dichlor) at its South Charleston, W.Va. plant and converts these core chemistries into an array of finished goods at its tableting and packaging facility. Products include sanitizers and disinfectants for applications such as recreational water treatment, as well as household, industrial and institutional (HI&I) and other water treatment applications.
The transaction is expected to be completed before the end of 2022, subject to regulatory approval and customary closing conditions. Financial terms were not disclosed. Solenis and Clearon will continue to operate as independent companies until the transaction is complete.
“This acquisition will help Solenis fulfill a strategic growth initiative following our recent ownership change to Platinum Equity, driving value through our branded Pool Solutions sanitization product line while providing an enhanced customer experience through expanded offerings and cost-effective pool solutions,” said John Panichella, CEO, Solenis. “We continue to work closely with the Platinum Equity team to identify opportunities to add value for our customers and drive growth for the Solenis team.”
“Clearon is an important accelerator in our strategic growth road map and will be a step change in our ability to delight customers and consumers,” said Robert Baird, president of Pool Solutions at Solenis. “We’re excited to add Clearon’s impressive portfolio of consumer solutions and remain vigilant in our quest to build the world’s leading company in pool and water care solutions.”
“Once closed, this transaction will align the strong legacy and complementary capabilities of two remarkable companies, both of whom are committed to safe, reliable and sustainable operations for the betterment of their customers and the communities in which they operate. This combination will allow our customers to be met with a diverse portfolio of solutions while providing tremendous growth opportunities for Clearon’s most precious asset, our employees,” said Bryan Kitchen, president and CEO, Clearon Corp.
Holland and Knight LLP is providing legal counsel and Willkie Farr & Gallagher LLP is providing debt financing counsel to Solenis. BofA Securities and Goldman Sachs are leading the debt financing for the acquisition. Skadden, Arps, Slate, Meagher & Flom LLP is providing legal counsel to Clearon. BDA Partners is acting as Clearon’s financial advisor in respect of the transaction.