Permira to Buy CABB Private Equity Firm Acquires Chemical Company CABB
European private equity firm Permira plans to buy German chemical company CABB: The investor plans to acquire the former Clariant business with operations in Europe and Asia from Bridgepoint for an undisclosed value.
Sulzbach/Germany – CABB provides custom synthesised active ingredients and intermediates for the agrochemical segment and monochloroacetic acid (MCA) for applications in agrochemicals, pharmaceuticals, cosmetics, flavours, fragrances, vitamins and surfactant products. Headquartered in Sulzbach, Germany, the company was formed following the restructuring of Clariant's acetyls operations in 2003, and generated revenues of € 440m in 2013.
CABB operates six production facilities in Knapsack, Gersthofen, Germany; Pratteln, Switzerland; Ahmedabad, India; Kokkola, Finland, and Jining, China. According to industry experts, CABB had an enterprise value of more than US $ 1 billion.
Permira Plans to Grow in Chemicals
The acquisition is a part of Permira's strategy to tap the demand for chemicals used in the pesticide, cosmetic and food industries. CABB Group CEO Martin Wienkenhöver said: "Together with Bridgepoint, the management of CABB established a sustainable growth strategy and we are looking forward to continue with and accelerate our successful growth path with the support of Permira." Following the necessary regulatory approvals, the transaction could be finished by mid-2014.