Stepan Company acquired Aromatic Polyester Polyol Business and Associated Assets of INVISTA B.V. for approximately $170 million.
January 28, 2021
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Stepan Company (NYSE:SCL) acquired Aromatic Polyester Polyol Business and Associated Assets of INVISTA B.V. on January 29, 2021. As part of transaction, assets included in this transaction are two manufacturing sites, one in Wilmington (United States) and the other in Vlissingen (Netherlands) as well as the Terate brand, and intellectual property, customer relationships, inventory and working capital. INVISTA retains ownership of its nylon businesses and related brands. The business acquired has global sales of approximately $100 million in 2020. This acquisition was financed with cash on hand. The transaction is expected to be accretive to Stepan's EBITDA margins. Robert Katz of Latham & Watkins LLP acted as legal advisor to Stepan Company (NYSE:SCL) in the transaction.
Stepan Company (NYSE:SCL) completed the acquisition of Aromatic Polyester Polyol Business and Associated Assets of INVISTA B.V. on January 29, 2021. Stepan Company (NYSE:SCL) completed the acquisition of Aromatic Polyester Polyol Business and Associated Assets of INVISTA B.V. for approximately $170 million. The purchase price was paid in cash and is subject to customary adjustments based on actual working capital and inventory as of the closing date. Jim Marshall, Laura Katherine Mann, Joshua Dunegan, Josh Gonzales, Sean Aguirre, Nathan Chubb and Robert Cowan of Baker Botts L.L.P. acted as legal advisor to INVISTA in the transaction.
Stepan Company is a producer and seller of specialty and intermediate chemicals that are used in a variety of end products. The Company operates through three segments: Surfactants, Polymers and Specialty Products. The Surfactants segment offers ingredients in consumer and industrial cleaning and disinfection products, such as detergents for washing clothes, dishes, carpets, floors and walls, as well as shampoos and body washes. Other applications include fabric softeners, germicidal quaternary compounds, disinfectants, lubricating ingredients, emulsifiers for spreading agricultural products and industrial applications. The Polymers segment includes polyurethane polyols, polyester resins and phthalic anhydride. Polyurethane polyols are used in the manufacture of rigid foam for thermal insulation in the construction industry. The Specialty products segment includes flavors, emulsifiers and solubilizers used in food, flavoring, nutritional supplement and pharmaceutical applications.