Clariant agrees to sell leather unit to Wendel's Stahl
Clariant AG, Swiss maker of specialty chemicals, had agreed to sell a leather-treatment unit to French investment company Wendel SA's Stahl, according to a report by Bloomberg. The report said the sale marked the end of a one-year overhaul by Clariant that started in 2012. Clariant and Stahl reached an agreement with the former to receive millions and percentage shares.
In a statement, Hariolf Kottman, Clariant chief executive officer, said the agreement marked the last big step to reposition Clariant's portfolio.
"Through this planned transaction, Clariant will achieve its goal to actively participate in the consolidation of the leather chemicals industry by creating the global leader," Kottmann said.
With the agreement, it valued Clariant's leather unit at about 7.5 times earnings before interest taxes, depreciation and amortization.
The transaction between the two companies could be finalized by 2014. When the transaction would get closed, Wendel would still remain Stahl's principal shareholder with an ownership stake at 70%.