Speciality chemicals business sold

Citation

(1999), "Speciality chemicals business sold", Pigment & Resin Technology, Vol. 28 No. 6. https://doi.org/10.1108/prt.1999.12928fab.002

Speciality chemicals business sold

Speciality chemicals business sold

Keywords: AstraZeneca, Sale, Zeneca Specialities, Chemicals

AstraZeneca recently announced that it has agreed to sell Zeneca Specialities for a cash amount of $2.1 billion (£1.3bn) in a buyout jointly financed by Cinven and Investcorp.

In 1998, the Zeneca Specialities businesses now being sold had sales of $11bn (£686m), a net asset value of $765m (£460m) and operating profits of $150m (£90m).

Zeneca Specialities will be renamed after completion of the deal. Jeremy Scudamore, currently chief executive of Zeneca Specialities will become chief executive of the new company.

Dr Tom McKillop, chief executive of AstraZeneca, said: “This is an excellent outcome for our customers, employees and shareholders and meets the criteria we set last November for the sale of the business. The deal represents the largest ever buy out in the chemicals sector and gives Specialities’ management the opportunity to drive for further growth within their own sector.”

Jeremy Scudamore said: “The business has been performing particularly well as a result of the recent restructuring. Cinven’s and Investcorp’s financial backing to this buy-out will provide a platform from which we can continue the rapid development of the business.”