AD HOC ANNOUNCEMENT PURSUANT TO ART. 53 LR
Clariant agrees to acquire Lucas Meyer Cosmetics for a total consideration of USD 810 million (~ CHF 720 million)- Fully aligned with Clariant’s purpose-led growth strategy, strengthens position as a true specialty chemical company
- Will expand Clariant’s reach into high value cosmetic ingredients space, based on customer-driven innovation and natural solutions
- Strong strategic fit with complementary customer and product portfolios, geographic footprint, and research capabilities
- Ambition to grow Lucas Meyer Cosmetics annual sales from ~
USD 100 million to ~ USD 180 million by 2028 - Lucas Meyer Cosmetics financial profile accretive to growth, margins, and cash flow; significantly exceeding Clariant’s 2025 target metrics
- Closing expected in the first quarter of 2024
MUTTENZ,
“The proposed acquisition of Lucas Meyer Cosmetics marks another major step forward for Clariant’s purpose-led growth strategy. It will strengthen our position as a true specialty chemical company, our exposure towards consumer markets, and our footprint in
“Lucas Meyer Cosmetics represents a significant, exciting growth opportunity for Care Chemicals. It is a perfect fit with our business, given the complementarity of our customers and products. Combining our respective strengths, including the R&D and innovation capabilities of Lucas Meyer Cosmetics, backed by a strong brand, will enable us to deliver a strong increase in annual sales to
Lucas Meyer Cosmetics, founded in 1999 and headquartered in
Strong strategic and financial rationale
The acquisition is underpinned by a compelling strategic rationale given Clariant’s and Lucas Meyer Cosmetics’ complementarity in customer portfolio, product portfolio, regional strongholds and capabilities in R&D and marketing, making the combination of
The transaction will create considerable value for Clariant’s shareholders. With ~ 10 % sales growth1, outstanding profitability and high cash conversion, Lucas Meyer Cosmetics is accretive to Clariant’s growth, margin and cash flow profile and exceeds Clariant’s financial target metrics for 2025. The transaction is expected to be mid-single digit percentage accretive to EPS2 from year one onwards. Given the strong strategic fit and high complementarity of the businesses, Clariant’s ambition is to grow Lucas Meyer Cosmetics’ annual sales from ~ USD 100 million to ~ USD 180 million by 2028.
Financing and expected timetable
The funding for the acquisition has been secured by a fully committed bridge facility which is intended to be refinanced soon after completion. On completion, Clariant’s net leverage is expected to moderately increase to ~ 2.8x times EBITDA including pension and lease liabilities, preserving the Group’s prudent capital structure and balance sheet strength.
The acquisition is expected to close in the first quarter of 2024.
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CORPORATE MEDIA RELATIONS Phone +41 61 469 63 63 jochen.dubiel@clariant.com Anne Schäfer Phone +41 61 469 63 63 anne.schaefer@clariant.com Phone +41 61 469 63 63 ellese.caruana@clariant.com | INVESTOR RELATIONS Andreas Schwarzwälder Phone +41 61 469 63 73 andreas.schwarzwaelder@clariant.com Phone +41 61 469 63 73 thijs.bouwens@clariant.com |
Follow us on X, Facebook, LinkedIn, Instagram. This media release contains certain statements that are neither reported financial results nor other historical information. This document also includes forward-looking statements. Because these forward-looking statements are subject to risks and uncertainties, actual future results may differ materially from those expressed in or implied by the statements. Many of these risks and uncertainties relate to factors that are beyond Clariant’s ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behavior of other market participants, the actions of governmental regulators and other risk factors such as: the timing and strength of new product offerings; pricing strategies of competitors; the Company’s ability to continue to receive adequate products from its vendors on acceptable terms, or at all, and to continue to obtain sufficient financing to meet its liquidity needs; and changes in the political, social and regulatory framework in which the Company operates or in economic or technological trends or conditions, including currency fluctuations, inflation and consumer confidence, on a global, regional or national basis. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this document. www.clariant.com |
1 CAGR 2015-2023E
2 On an adjusted basis including full run-rate synergies and excluding non-recurring, transaction-related costs
Attachments
- 20231030_CLARIANT ANALYST PRESENTATION_LUCAS MEYER COSMETICS_Q3_9M 2023
- Clariant Media Release_Clariant agrees to aquire Lucas Meyer Cosmetics 20231030_ DE
- Clariant Media Release_Clariant agrees to aquire Lucas Meyer Cosmetics 20231030_EN
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