Synthomer Completes Acquisition of OMNOVA Solutions
LONDON — Synthomer announced that the company has completed the acquisition of OMNOVA Solutions Inc. The transaction creates a global specialty chemicals company with significant scale and a strong platform from which to invest in future growth. The acquisition makes Synthomer a worldwide player in water-based polymer solutions with greater customer reach and strong operational capabilities. The company will be in a stronger position to invest in growth, innovation and people.
The acquisition materially strengthens Synthomer's presence in North America, as well as increases its presence in Europe and Asia, including further penetration into the high-growth Chinese market. Synthomer intends to utilize best practices from across the enlarged group to improve productivity and service.
The acquisition is expected to result in estimated recurring run-rate pre-tax cost synergies of $29.6 million per annum by the end of the third year following completion. It is expected to be earnings accretive in the first full financial year following completion and strongly accretive thereafter. OMNOVA will be integrated into Synthomer accounts with immediate effect.
Calum MacLean, CEO of Synthomer, said, “I am very grateful to everyone who has helped us complete our acquisition of OMNOVA in a relatively short time frame following the initial announcement of the transaction at the start of July. Synthomer now has global reach, a broader product portfolio and increased R&D capabilities with an exciting platform from which to attract talent and invest in future growth. We have already made strong progress to bring our businesses, and I look forward to working closely with new colleagues around the world to take Synthomer forward.”