Eastman to buy water treatment chemicals firm Taminco for $1.8 billion
9/11/2014 12:00:00 AM
By JACK KASKEY
Bloomberg
Eastman Chemical agreed to acquire Taminco Corp., a producer of chemicals for water treatment and agriculture, for about $1.8 billion in cash.
Taminco shareholders will receive $26 a share, Kingsport, Tennessee-based Eastman said Thursday in a statement. The transaction value is $2.8 billion including assumption of $1 billion of Taminco’s debt, Eastman said.
The transaction was also approved by Apollo Global Management, the majority owner of Taminco, the Allentown, Pennsylvania-based company said in a separate statement.
Taminco is the world’s largest integrated producer of alkylamines and alkylamine derivatives. Taminco blends ammonia with alcohol to make amines that can be reacted with other chemicals to make pharmaceuticals, foods, crop chemicals and solvents
Taminco rose 11% to $26.51 at 10:50 a.m. in New York.
Eastman’s financial adviser is Citigroup and Jones Day is acting as legal counsel. Kirkland & Ellis acted as legal adviser to Taminco and Morgan Stanley acted as financial adviser.
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