Vantage to Acquire Germany’s Leuna-Tenside
US-based Vantage Specialty Chemicals has agreed to buy German surfactants specialist Leuna-Tenside from two equity investors.
Germany’s VR Equitypartner and Luxembourg-based BIP Investment Partners acquired a majority interest in Leuna-Tenside in 2015. The company was founded in 1995 as part of the management buyout of a business division of the former Leuna-Werke.
Christian Futterlieb, managing director of VR Equitypartner, said that, thanks to joint efforts with management, Leuna-Tenside is now well positioned in the market. He commented: “The company enjoys an outstanding competitive edge thanks to its ability to pursue customized surfactant chemistry within a dynamic niche.”
Leuna-Tenside’s managing director, Steve Döring, added that Vantage’s interest recognizesthe tremendous opportunities available for the business, including enhanced access to international markets, especially the US, and numerous cross-selling opportunities.
Financial terms have not been disclosed but Moody’s Investors Service said Vantage will add $88 million to its existing loans to finance the acquisition and pay for transaction fees and expenses.
The purchase remains subject to approval from regulatory authorities. Vantage did not say when it expects the deal to close.
Vantage, which was itself repurchased by US private equity group H.I.G. Capital in October 2017, completed another acquisition in September 2018, notably that of Amarna, a leading manufacturer of water-based release agents, which are used in a variety of food applications. The company is based at Delta, Colorado, USA.
Keval Patel, managing director at H.I.G., said the Amarna investment continues a strategy of acquiring green, unique and complementary technologies in attractive, high-growth end markets.