Fredericks Michael & Co. acted as the exclusive financial advisor to Kemira Oyj, a global leader in sustainable chemical solutions for water intensive industries, on the sale of most of Kemira’s colorants business in the Americas and EMEA to ChromaScape LLC, a US-based specialty colorants and additives supplier who provides premium products for a variety of industries in the US and Europe, and a portfolio company of Heartwood Partners, a US based private equity firm.
The sold colorants business provides basic and direct dyes, organic pigments and special colorants which are used in numerous different paper and packaging applications such as tissue, carboard, newspaper, and high-end packaging solutions for jewelry, cosmetics, and food stuffs.
The transaction includes Kemira’s manufacturing site at Goose Creek, Bushy Park in South Carolina. The business generates approximately EUR 50 million in revenues with sales in the Americas and EMEA regions. Kemira retains its APAC related colorants business. 67 employees will transfer to ChromaScape. The transaction is expected to close in the first quarter of 2023.
“We are very happy to see that our strategic objective to streamline Kemira’s portfolio is reaching the next milestone. Chromascape has shown ways to take colorants platform to new heights and thus secures further value creation for our joint customer base. We are excited to continue collaboration with the new owner of our colorants business after Closing,” says Antti Matula, SVP Global Product Lines & Business Development, Kemira Oyj.
FM&Co.’s advisory services to Kemira included running a comprehensive sale process, including identifying and contacting potential buyers, and valuing, structuring, and negotiating the terms and conditions of the agreement.
Kemira is a global leader in sustainable chemical solutions for water intensive industries. Kemira provides best suited products and expertise to improve their customers’ product quality, process, and resource efficiency. Kemira’s focus is on pulp & paper, water treatment and energy industry. In 2021, Kemira had annual revenue of around EUR 2.7 billion and around 5,000 employees. Kemira’s shares are listed on the Nasdaq Helsinki Ltd. For more information, visit www.kemira.com