Clariant strengthens its North American oilfield production chemicals business with two acquisitions

Clariant AG / Clariant strengthens its North American oilfield production chemicals business with two acquisitions . Processed and transmitted by Nasdaq Corporate Solutions. The issuer is solely responsible for the content of this announcement.

Purchases of Kel-Tech and X-Chem agreed to and cleared by regulators

Clariant adds approx. USD 200 million of sales, accelerating its growth as a leading provider of oilfield production chemicals in North America

Expanded portfolio, increased presence in key oil-producing basins, and strong complementary operational efficiencies add value to expanded customer base

 

     

Muttenz, September 14, 2016 - Clariant, a world leader in specialty chemicals, today announces two acquisitions in the oilfield production chemicals business. After closing, the agreed purchases of Kel-Tech Inc. and X-Chem LLC add approx. USD 200 million of sales, as well as personnel, technology and expertise to its existing activities in North America and accelerates the growth of its Business Unit Oil & Mining Services (OMS) as a leading provider of oilfield production chemicals in North America.

Clariant will leverage the new companies' brand and innovation to better meet market needs and expand market presence. The effective closing date of both acquisitions is October 1, 2016 and they are financed from cash at hand. All parties involved have agreed to not disclose any further financial terms.

"It is part of our global strategy to seize business opportunities in key markets with excellent future prospects through innovations and bolt-on acquisitions. Both of these acquisitions allow us to strengthen our position in one of the world's largest specialty chemicals markets, to benefit from the strong, innovation-driven growth perspective of the oil services industry in North America and are accretive to our earnings from year one on," says Hariolf Kottmann, CEO of Clariant.