Daelim Industrial to Acquire Kraton’s Cariflex Business Unit
The transaction is expected to close in the first quarter of 2020, subject to customary regulatory approvals and other closing conditions as set forth in the purchase and sale agreement.
Kraton Corp. recently announced that it has agreed to sell its Cariflex™ business unit to Daelim Industrial Co., Ltd. for a purchase price of $530 million. The transaction is expected to close in the first quarter of 2020, subject to customary regulatory approvals and other closing conditions as set forth in the purchase and sale agreement. Cariflex contributed $50.5 million of pro forma adjusted EBITDA for the fiscal year ended December 31, 2018.
“Cariflex is an attractive business with a robust growth profile and pro forma Adjusted EBITDA margins in excess of 30%,” said Kevin M. Fogarty, president and CEO of Kraton. “We undertook the strategic review of the Cariflex business to explore the possibility of unlocking value for the benefit of our shareholders, as we felt the intrinsic value of the Cariflex business was not appropriately reflected in Kraton’s overall valuation.