ALPEK, S.A.B. de C.V. (BMV:ALPEK A) agreed to acquire OCTAL Holding SAOC from bank muscat SAOG (MSM:BKMB) and others for $620 million on February 1, 2022. Alpek will purchase 100% of Octal's shares for U.S. $620 million on a debt-free basis. Financing for the acquisition will be secured through cash on the Company's balance sheet, free cash flow generated from existing businesses and dedicated bank loans. The transaction is subject to customary conditions to closing, including the approval of relevant regulatory authorities. As of April 26, 2022, regulatory approval was received. The transaction is expected to close in the first half of 2022. As of April 26, 2022, the transaction is expected to close by the end of second quarter of 2022. The deal would have an immediately accretive and material impact on EBITDA of an estimated U.S. $135 million before synergies, based on Octal's rolling 12-month EBITDA through September 30, 2021. J.P. Morgan acted as exclusive financial advisor to OCTAL and Christopher Lester and Nomaan A. Raja of Latham & Watkins LLP were legal advisors to OCTAL. HSBC Holdings plc (LSE:HSBA) acted as financial advisor to ALPEK. Jeff L. White of Weil, Gotshal & Manges LLP acted as legal advisor to ALPEK, S.A.B. de C.V. (BMV:ALPEK A).
ALPEK, S.A.B. de C.V. (BMV:ALPEK A) completed the acquisition of OCTAL Holding SAOC from bank muscat SAOG (MSM:BKMB) and others on May 31, 2022.