Chemical company BASF (Ludwigshafen, Germany) announced it had closed the divesture of its Construction Chemicals business to an affiliate of Lone Star, a global private equity firm. The deal officially went into effect on September 30, 2020.
As
MP reported earlier this year, the purchase price for the Construction Chemicals business, made on a cash- and debt-free basis, was €3.17 billion ($3.52 billion). This business now forms the newly founded MBCC Group, headquartered in Mannheim, Germany.
“Lone Star has been a professional partner in this transaction and is committed to the future success of the business,” says Saori Dubourg, member of the board of executive directors of BASF SE. “We highly appreciate the tremendous efforts to realize the carve-out and close the deal in such a fast and decisive manner. We wish the Construction Chemicals team much success for the future.”
BASF and the Lone Star affiliate signed a purchase agreement for the Construction Chemicals business on December 21, 2019. The newly purchased business staffs approximately 7,500 employees and operates production sites and sales offices in more than 60 countries.
Since its establishment in 1995, Lone Star has organized twenty private equity firms with aggregate capital commitments totaling approximately $85 billion.