Synthomer will buy specialty chemical company Omnova Solutions Inc. in a deal worth about $455 million.
Synthomer will pay $10.15 a share in an all-cash transaction for Omnova, according to a news release. The deal is expected to close by the end of the year or in early 2020, pending regulatory and shareholder approval.
“The offer price represents a premium of 52 percent over Omnova’s three-month weighted average share price of $6.67,” Omnova Chief Executive Officer Anne Noonan said in the release. “The transaction has been approved unanimously by the Omnova and Synthomer boards of directors. We are pleased that Synthomer recognizes the hard work of our employees in executing our multi-year transformation into a leading global specialty solutions provider. “Omnova complements Synthomer culturally, geographically and by market, while Synthomer’s financial position provides for a very strong combined company that will be well positioned to accelerate growth. This transaction presents increased opportunities for the business and its employees to leverage the combined scale, grow more quickly and profitably, and enhance product innovation in ways that will benefit customers and employees.”
Read the full press release here.