Solvay completes acquisition of U.S.-based Chemlogics
Brussels, October 31, 2013 ---Solvay announces today the closing of the acquisition of privately-held Chemlogics, following clearance from the relevant anti-trust authorities.
This acquisition, as part of the Group's transformation towards an innovative chemical solutions provider, enables Solvay’s Novecare business unit to become a leader with an extensive portfolio of tailored chemical solutions for the fast-growing oil & gas market.
The acquisition of Chemlogics will generate significant synergies. Synergies will come from an extended client base and thanks to a comprehensive offering of innovative products and technologies enabling oilfield service players worldwide to competitively and safely extract oil and gas while reducing water consumption.
Solvay announced plans to buy Chemlogics for $1,345 million in cash on October 7. Founded in 2002 and headquartered in Paso Robles, California, Chemlogics reported last-twelve-month sales of around $500 million and has 277 employees. All its assets are located in the U.S. and include three manufacturing sites with annual capacity exceeding 300 KT, eight formulation centers and six research and technical facilities.
"This acquisition accelerates Solvay’s transformation into a Group with higher growth and stronger margins, while increasing its exposure to the growing U.S. energy market," said Jean-Pierre Clamadieu, Chief Executive Officer of Solvay. "Strengthening Solvay’s oil and gas offering fits with our aim to become a model in sustainable chemistry, contributing to the transition towards the use of ever cleaner energy forms for a growing number of consumers.”As an international chemical group, SOLVAY assists industries in finding and implementing ever more responsible and value-creating solutions. The Group is firmly committed to sustainable development and focused on innovation and operational excellence. Solvay serves diversified markets, generating 90% of its turnover in activities where it is one of the top three worldwide. The group is headquartered in Brussels, employs about 29,000 people in 55 countries and generated 12.4 billion euros in net sales in 2012. Solvay SA SOLB.BE) is listed on NYSE Euronext in Brussels and Paris (Bloomberg: SOLB.BB- Reuters: SOLBt.BR).