Clayton, Dubilier & Rice to Acquire Ashland Water Technologies in $1.8 Billion Transaction - WSPA.com

Clayton, Dubilier & Rice to Acquire Ashland Water Technologies in $1.8 Billion Transaction

Information contained on this page is provided by an independent third-party content provider. WorldNow and this Station make no warranties or representations in connection therewith. If you have any questions or comments about this page please contact pressreleases@worldnow.com.

SOURCE Clayton, Dubilier & Rice

NEW YORK, Feb. 18, 2014 /PRNewswire/ -- Clayton, Dubilier & Rice ("CD&R") and Ashland Inc. (NYSE:ASH) today announced an agreement under which a CD&R-managed  fund will acquire Ashland Water Technologies ("AWT"), a leading global supplier of specialty chemicals for process, functional and water treatment applications. AWT serves customers in the pulp, paper, power generation, mining, oil & gas refining, chemical processing, general industrial, food and beverage, institutional, commercial and municipal end markets.  The carve-out transaction is valued at approximately $1.8 billion.

With annual revenues of $1.7 billion, AWT offers chemical and equipment technologies and services designed to help customers improve operational efficiencies, enhance product quality, protect plant assets and minimize environmental impact.  AWT operates a global footprint with 31 manufacturing facilities across 17 countries and 5 continents.  The company's segments are Pulp & Paper (67% of 2013 sales) and Industrial Water (33% of 2013 sales).

The company offers a broad range of products and services to meet the diverse requirements of its customers.  The Pulp & Paper business unit's extensive product offering includes sizing, strength, biocides, retention and drainage control, contaminant control, and crepe and release chemistries. Each of these product groups addresses major steps in the packaging, tissue & towel or paper manufacturing processes and helps customers either maximize production process efficiency or improve end product characteristics. The Industrial Water business unit sells both water treatment and process chemicals to its customers, with a product portfolio that includes chemicals and solutions that are used in boilers, cooling towers and wastewater treatment applications to prevent corrosion, deposition, biological fouling and foaming and improve process efficiency.

"We are excited to be  partnering with John Panichella and the AWT management team and look forward to working with them to move the business forward to its next level of profitable growth," said CD&R Partner David H. Wasserman.

"Ashland Water Technologies has many attractive features, including a very strong competitive position which reflects its global scale, deep set of service capabilities and innovation leadership," said CD&R Partner George K. Jaquette. "We look forward to working with the management team to build upon the company's market leadership position."

John Panichella, who has more than 25 years of experience within global water markets, will continue to lead the business as Chief Executive Officer.  Lewis Hay III, former Chairman, President and Chief Executive Officer of NextEra Energy, Inc. and a CD&R Operating Advisor, will assume the role of Chairman upon the close of the transaction, expected by September 30, 2014.

CD&R has obtained committed financing from BofA Merrill Lynch, Credit Suisse, Goldman Sachs Bank USA, Macquarie Capital, Nomura Securities International, Inc. and RBC Capital Markets. BofA Merrill Lynch, Credit Suisse, Goldman, Sachs & Co., Macquarie Capital, Nomura Securities International, Inc. and RBC Capital Markets acted as financial advisors, and Debevoise & Plimpton LLP acted as legal advisor to CD&R in connection with the transaction.

About Clayton, Dubilier & Rice

Founded in 1978, Clayton, Dubilier & Rice is a private investment firm with an investment strategy predicated on producing financial returns through building stronger, more profitable businesses. Since inception, CD&R has managed the investment of more than $19 billion in 59 businesses with an aggregate transaction value of more than $90 billion. For more information, please visit www.cdr-inc.com.

About Ashland

In more than 100 countries, the people of Ashland Inc. (NYSE: ASH) provide the specialty chemicals, technologies and insights to help customers create new and improved products for today and sustainable solutions for tomorrow. Our chemistry is at work every day in a wide variety of markets and applications, including architectural coatings, automotive, construction, energy, food and beverage, personal care, pharmaceutical, tissue and towel, and water treatment. Visit ashland.com to see the innovations we offer through our four commercial units – Ashland Specialty Ingredients, Ashland Water Technologies, Ashland Performance Materials and Ashland Consumer Markets.

Contacts:
Thomas C. Franco
+1 (212) 407 5225
tfranco@cdr-inc.com

Daniel G. Jacobs
+1 (212) 407 5218
djacobs@cdr-inc.com

©2012 PR Newswire. All Rights Reserved.

  • Top StoriesTop StoriesMore>>

  • Teen Stowaway Survives In Wheel Well of Maui Flight

    Teen Stowaway Survives In Wheel Well of Maui Flight

    Monday, April 21 2014 12:30 AM EDT2014-04-21 04:30:34 GMT
    Teen stowaway survives in wheel well of Hawaiian Airlines plane flight from California to Hawaii.Teen stowaway survives in wheel well of Hawaiian Airlines plane flight from California to Hawaii.
    FBI officials say a 16 year old boy stowed away in the wheel well of a flight from California to Hawaii and survived.
    FBI officials say a 16 year old boy stowed away in the wheel well of a flight from California to Hawaii and survived.
  • Update: Amber Alert For Child Abduction Cancelled

    Update: Amber Alert For Child Abduction Cancelled

    Monday, April 21 2014 12:07 AM EDT2014-04-21 04:07:49 GMT
    Amber Alert in North Carolina has been cancelled.Amber Alert in North Carolina has been cancelled.
    The AMBER Alert for a missing child, Tamiyah Elssy Bryant, issued Saturday has been cancelled.  The North Carolina Amber Alert page says the child was located in Emporia, VA unharmed.
    The AMBER Alert for a missing child, Tamiyah Elssy Bryant, issued Saturday has been cancelled.  The North Carolina Amber Alert page says the child was located in Emporia, VA unharmed.
  • 11 Year Old Killed In Anderson Co. Crash

    11 Year Old Killed In Anderson Co. Crash

    Sunday, April 20 2014 11:52 PM EDT2014-04-21 03:52:24 GMT
    11 Year Old Killed In Anderson Co. Crash11 Year Old Killed In Anderson Co. Crash
    The South Carolina Highway Patrol says an 11 year old has died after a car crash in Anderson County.
    The South Carolina Highway Patrol says an 11 year old has died after a car crash in Anderson County.
Powered by WorldNow

250 International Dr.
Spartanburg, S.C. 29303

Telephone: 864.576.7777
Fax: 864.587.5430
Email: webmaster@wspa.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.