Yule Catto expands polymer business
To acquire PolymerLatex from private equity
UK chemicals company Yule Catto & Co is to acquire PolymerLatex of Germany from private equity house TowerBrook Capital Partners for €443m (£376m; US$592m), a move that will help the firm expand its business in Europe and Asia-Pacific.
PolymerLatex, based in Marl, is Europe’s third-largest producer of synthetic latex. It employs around 600 people and has production sites in Germany, Dubai, Finland, Italy and Malaysia. Sales were around €387m in 2009.
The deal, which is subject to regulatory and shareholder approvals, should be completed during Q2, 2011.
Yule Catto, based in Harlow, Essex, UK, already owns the Synthomer polymers business, and says this deal will bring together two companies with a combined turnover of approximately £800m and employing more than 2,000 people.
Synthomer and PolymerLatex are suppliers of emulsion polymers, which are used to manufacture a wide range of everyday products including synthetic latex gloves, floorcoverings and paints and coatings.
This transaction will result in a new business with the market expertise, geographic reach, manufacturing capabilities and r&d team to provide customers with a broader range products supported by an extensive manufacturing network, said Yule Catto.
Adrian Whitfield, Yule Catto Group chief executive, said: “The combination of Synthomer's polymer business and PolymerLatex will create a business of great potential to our customers, our people, our shareholders and the communities in which we operate. We look forward to learning from each other and building a business that combines the best of both companies.”
