BRUSSELS - Solvay has entered into a definitive merger agreement with U.S.-based Cytec to acquire 100 percent of its share capital for $75.25 per share in cash. The total cash consideration will amount to $5.5 billion.
“The proposed acquisition of Cytec marks a major step change in Solvay’s portfolio upgrade. It is a unique opportunity for Solvay to boost its customer offerings in light-weighting with advanced materials in aerospace and automotive, as well as to strengthen its know-how with activities in mining chemicals,” said Jean-Pierre Clamadieu, CEO of Solvay.
Headquartered in New Jersey with 4,600 employees across the globe, Cytec generated sales of $2 billion in 2014. It sources almost half of its sales from North America, nearly a third from EMEA and the remainder from Asia-Pacific and Latin America. The company is among the world leaders in composite materials and in mining chemicals.
Cytec’s composites businesses will be integrated into Solvay’s Advanced Materials operating segment. Its mining chemicals as well as its niche additives and phosphine specialty chemical businesses will become part of Solvay’s Advanced Formulations segment.