Synthomer receives European Commission clearance for Omnova acquisition
Synthomer has received the conditional clearance from the European Commission regarding its proposed acquisition of Omnova Solutions.
The European Commission concluded that the transaction, as modified by the commitments offered by Synthomer, does not raise any competition concerns.
The commitments require divestment of Synthomer’s small VP Latex business in Germany. The VP Latex business represented less than 0.5% of Synthomer’s 2018 sales volume. Whilst financially immaterial, the sale process must be finalised prior to the closing of Synthomer’s acquisition of Omnova. This represents a structural remedy offered by Synthomer to address any concerns regarding the overlap between the two companies’ VP Latex operations.
Synthomer will proceed with the sale process
As Synthomer tells, the company has already received a number of expressions of interest for this business and will now proceed with the sale process, with completion of the acquisition of Omnova expected late Q1 2020. The transaction also remains subject to regulatory approval from the Turkish authorities, which is expected to be received early in February.
Image source: Pixabay.
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