HEERLEN, Netherlands, May 17, 2018 /PRNewswire/ --
Royal DSM, a global science-based company active in health, nutrition and materials, informs its stakeholders that Fibrant Holding BV today announced the proposed sale of Fibrant BV and 60% of the shares of Fibrant China to the Highsun Holdings Group Ltd. Through the joint venture Chemicalnvest, DSM and CVC Capital Partners indirectly own 35% and 65% respectively of the shares of Fibrant BV. The intended sale is expected to be completed in the third quarter of 2018, subject to customary regulatory approvals .
It is estimated that DSM will receive about €200 million in cash following the closing of the transaction with Highsun Holdings Group Ltd.
Highsun Holdings Group Ltd. will assume the drawing rights and supply contracts of Fibrant, with Fibrant continuing to supply at least 80% of DSM Engineering Plastics' input needs in Europe and North America until 2030, effectively maintaining DSM Engineering Plastics' backward integration. In China, DSM Engineering Plastics will continue to be supplied by Fibrant as today. This secures an ongoing strategic and competitive position for the polyamide 6 business in which DSM is a global leader.
After completion of the intended sale, DSM and CVC Capital Partners will still own 35% and 65% respectively of the shares of the two remaining business units of the ChemicaInvest joint venture: Aliancys (composite resins) and AnQore (acrylonitrile), which jointly generated almost €700 million in revenues with an EBITDA margin of about 12% in 2017.
DSM - Bright Science. Brighter Living.™
Royal DSM is a global science-based company active in health, nutrition and materials. By connecting its unique competences in life sciences and materials sciences DSM is driving economic prosperity, environmental progress and social advances to create sustainable value for all stakeholders simultaneously. DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials. DSM and its associated companies deliver annual net sales of about €10 billion with approximately 25,000 employees. The company is listed on Euronext Amsterdam. More information can be found at http://www.dsm.com.
Forward Looking Statement
This press release may contain forward-looking statements with respect to DSM's future (financial) performance and position. Such statements are based on current expectations, estimates and projections of DSM and information currently available to the company. DSM cautions readers that such statements involve certain risks and uncertainties that are difficult to predict and therefore it should be understood that many factors can cause actual performance and position to differ materially from these statements. DSM has no obligation to update the statements contained in this press release, unless required by law.
For more information:
DSM Media Relations
Lieke de Jong
DSM Investor Relations
SOURCE Royal DSM