French energy giant Total to sell speciality chemicals unit Atotech to Carlyle for $3.2 bn
07 October 2016
French oil and gas giant Total SA today struck a deal to sell its speciality chemicals business Atotech to US private equity firm Carlyle Group for $3.2 billion.
The sale will see Total completely exiting from the specialty chemicals business after it sold Paris-based adhesives company Bostik in 2014 to Arkema for a reported €1.71 billion ($2.5 billion).
The Paris-based company had in February said that it would sell non-core assets worth about $10 billion this year.
Last month CEO Patrick Pouyanne said that Atotech no longer fell within the company's strategic vision.
''This transaction is part of Total's portfolio management strategy, which aims to align the group's asset base with its business ambition,'' Pouyanne said in a statement. ''Carlyle will enable Atotech to pursue its growth ambitions and serve its customers while respecting its commitments towards its employees and stakeholders.''
Atotech was founded in 1993, when the Elf Atochem Group merged its M&T Harshaw operations with the Schering Electroplating Division, which had a long history in electroplating dating back to 1901.
It is one of the world's leading suppliers of specialty chemicals, equipment, service and solutions for printed circuit board manufacturing and advanced packaging in electronics, as well as decorative and functional surface finishing in general metal finishing.
In addition to its core business units of Electronics and General Metal Finishing, its other business units include Semiconductor Technology and Electronics Materials.
Its customers are from the automotive, consumer electronics, sanitary, industrial/medical, construction, oil and gas, military/aerospace, household goods, furniture, jewelry, fashion sector.
The Berlin-based company operates in more than 40 countries in all important industrial regions of the world, and generates annual sales of about $1 billion.