NEW YORK–(BUSINESS WIRE)–The Valence Group advised Solenis on its combination with BASF of their
paper and water chemical businesses. The combined company will have
pro-forma sales of around $3 billion and intends to operate under the
Solenis brand. The new combination is positioned to provide expanded
chemical offerings and cost-effective solutions for customers in pulp,
paper, oil and gas, chemical processing, mining, biorefining, power,
municipal and other industrial markets.
BASF will own 49 percent of the combined company and 51 percent is
collectively owned by Solenis management and funds managed by Clayton,
Dubilier & Rice (CD&R). The new Solenis has approximately 5,200
employees, with increased sales, service and production capabilities
across the globe.
The merger includes the Paper and Water assets of BASF’s Performance
Chemicals unit, including production sites in Bradford and Grimsby, UK;
Suffolk, Virginia, USA; Altamira, Mexico; Ankleshwar, India; and
Kwinana, Australia and related assets including intellectual property.
BASF’s paper coating chemical business is not part of the transaction.
Solenis is a leading global producer of specialty chemicals for water
intensive industries, including the pulp, paper, oil and gas, chemical
processing, mining, biorefining, power and municipal markets. The
company’s product portfolio includes a broad array of process,
functional and water treatment chemistries as well as state-of-the-art
monitoring and control systems. These technologies are used by customers
to improve operational efficiencies, enhance product quality, protect
plant assets and minimize environmental impact. Headquartered in
Wilmington, Delaware, the company has 35 manufacturing facilities
strategically located around the globe in 118 countries across five
With more than 115,000 employees in the BASF Group, the portfolio is
organized into five segments: Chemicals, Performance Products,
Functional Materials & Solutions, Agricultural Solutions and Oil & Gas.
BASF generated sales of €64.5 billion in 2017. BASF shares are traded on
the stock exchanges in Frankfurt (BAS), London (BFA) and Zurich (BAS).
About The Valence Group
The Valence Group is a specialist investment bank offering M&A advisory
services exclusively to companies and investors in the chemicals,
materials and related sectors. The Valence Group team includes a unique
combination of professionals with backgrounds in investment banking and
strategy consulting within the chemicals and materials industries, all
focused exclusively on providing M&A advisory services to the chemicals
and materials sector. The firm’s offices are located in New York and
The Valence Group
Paul Lakind, 212-847-7339