GCP Applied Technologies Receives Binding Offer from Henkel to Acquire Darex Packaging Technologies
CAMBRIDGE, Mass., March 02, 2017 (GLOBE NEWSWIRE) -- GCP Applied Technologies Inc. (NYSE:GCP) has received a binding offer from Henkel to acquire GCP’s global Darex Packaging Technologies business for approximately $1.05 billion.
The sale of Darex would position GCP to focus on the growth opportunities in our construction and building materials markets. As the global market leader for can sealants, the Darex business would be a complementary fit to Henkel’s Adhesives Technologies portfolio. Darex’s sealing and coating products will extend Henkel’s offering in the metal packaging industry.
GCP is committed to introducing and building superior solutions, based on industry leading research and development. “We are repositioning GCP for higher growth through differentiated technology and strong market positions targeting the global construction markets,” said GCP Applied Technologies President and Chief Executive Officer, Gregory E. Poling. “The transaction will allow us to enhance our focus and will provide a strong balance sheet for internal investment and bolt-on acquisitions necessary to provide new products, technologies, and solutions that offer layers-of-value for our customers.”
GCP is a leading global provider of specialty construction products that include additives for cement and concrete, waterproofing, air barriers, and products for residential reroofing and fire protection applications. The company is creating new product categories in the ready-mix concrete industry with its VERIFI® in-transit concrete management system; and has launched new SILCOR® liquid waterproofing and PERM-A-BARRIER® weather barrier products that improve building performance and reduce labor costs. GCP products have been used to build some of the world’s most renowned structures.
Henkel is headquartered in Düsseldorf, Germany, with around 50,000 employees in 125 countries. The company operates in the laundry and home care, beauty care, and adhesive businesses worldwide.
In connection with Henkel’s binding offer, GCP will begin a consultation process with the relevant Works Councils and Labor Unions. Upon completion of that process, GCP expects to enter into a definitive purchase and sale agreement in respect of the proposed sale. The proposed transaction will also be subject to customary closing conditions, including regulatory approvals, and is expected to close in the middle of 2017.
Wachtell, Lipton, Rosen & Katz is acting as legal advisor, Goldman, Sachs & Co. is acting as financial advisor, and EY is acting as transaction advisor to GCP in connection with the proposed transaction.