Global speciality chemicals company Huntsman Corporation announced on 30 December that it had completed the sale of its European surfactants business to Innospec Inc for US$225M.
Innospec will acquire Huntsman’s manufacturing facilities in Saint-Mihiel, France; Castiglione delle Stiviere, Italy; and Barcelona, Spain.
The business comes with sales revenues of around US$230M and Innospec has said it would allow it to expand its product line in surfactants for personal and home care.
“We were always aware that in order to fulfil our vision to ‘take up more space in the bottle’ of cosmetics and toiletries, we must meet a wider range of customer needs,” said Samantha Thistleton, marketing manager of Innospec Performance Chemicals, in a Cosmetics-Design-Europe.com report.
Huntsman said it planned to make a US$260M early repayment of debt using proceeds from the sale and existing cash, which was in addition to recent debt reductions of US$100M in September 2016 and US$100M in July 2016.
“By completing the sale of this business, we are executing our plan to focus on businesses within our portfolio with a greater long-term strategic fit, while continuing to grow our downstream differentiated businesses,” Huntsman president and CEO Peter Huntsman said.
“We retained certain core products strategic to our global agrochemicals, lubes and other businesses and entered into supply and long-term tolling arrangements with Innospec to allow us to continue marketing some of these products.”