Evonik signs to Buy PeroxyChem
Evonik a Germany based industry has signed an agreement to buy PeroxyChem based in US, who is a leader in manufacturing hydrogen peroxide (H2O2) and peracetic acid (PAA) for the speciality applications market. It is being bought by Evonik from an equity partners for $625 million.
As per the Evonik’s chairman, this purchase will strengthen the resource efficiency growth segment. Also, the firm would be indulging in expanding their high growth and environmental friendly specialty applications.
In fiscal year 2018, the expected revenue by the firm PeroxyChem is around $300 million. The completion of deal is expected to be completed by mid-2019. PeroxyChem would be focusing on less cyclical markets such as, electronics semiconductor environmental and food safety industries. The firm earns around three- quarter of its earning only by specialty applications of these abovementioned industries.
About Evonik: Evonik is an industrial corporation company based in Germany. The company is one of the largest specialty chemicals company in the world, owned by RAG Foundation. It came into existence on 12 September 2007 because of restructuring of the mining and technology group RAG. The company has involved in chemicals, energy and real estate of RAG. The company has most of its revenue come from specialty chemicals business around 80% of sales in areas in which it holds leading market positions.
About PeroxyChem: PeroxyChem is a leading global supplier of oxidative solutions, with hydrogen peroxide, peracetic acid and persulfates as feedstock, for the electronics, energy, environmental, food safety, and other industrial markets.
— Vasundhra Singh,
Assistant Research Executive,