Clariant Sells Masterbatches Business Unit to PolyOne

Clariant has completed the sale of its entire Masterbatches business unit to PolyOne. The transaction, consisting of two separate deals covering Clariant's global Masterbatches business unit and its Masterbatches operations in India, was valued at USD 1.56 billion, equivalent to approximately 12.2 times the EBITDA declared over the last 12 months ending September 2019. Hariolf Kottmann, Deputy Chief Executive Officer of Clariant: "With the completion of this transaction, Clariant has taken another major step toward becoming a company focused entirely on specialty chemicals. Clariant aims to deliver above-market growth, higher profitability and stronger cash flow by focusing on three core business areas: Care Chemicals, Catalysis and Natural Resources. Following the successful sale of our Masterbatches and Healthcare Packaging business units, our next target is to divest our Pigments business unit," he said. In addition to the completion of the sale of the Masterbatches business unit and as a result of the planned sale of the Pigments business unit, Clariant will distribute an extraordinary dividend of CHF 3.00 per share to shareholders as soon as possible. The Clariant Board of Directors has set the dividend record date as 6 July 2020, the date for determining dividend beneficiaries as 7 July 2020, and the extraordinary dividend payment date as 8 July 2020. As previously announced, the remainder of the net proceeds from the planned sales will be used for investments in innovation and technology in the core business areas and to strengthen Clariant's balance sheet.