THE WOODLANDS, Texas,
Nov. 3, 2020 /PRNewswire/
-- Huntsman Corporation (NYSE: HUN) announced today that it
has completed the sale of its India based Do-It-Yourself consumer adhesives
business, within its Advanced Materials division, to Pidilite
Industries Ltd. in an all-cash transaction. Huntsman received
pre-tax proceeds of approximately $257
million on November 3, 2020,
excluding working capital and other adjustments. Taxes on the
transaction are estimated to be just under 10 percent. Under
the terms of the agreement Huntsman may receive up to approximately
$28 million of additional cash under
an earnout within 18 months if the business achieves sales revenue
in-line with 2019, for a total value of up to $285 million, excluding working capital and other
adjustments. The total transaction value represents a 2019
adjusted EBITDA multiple of approximately 15 times.
About Huntsman:
Huntsman Corporation is a publicly
traded global manufacturer and marketer of differentiated and
specialty chemicals with 2019 revenues of approximately
$7 billion. Our chemical products
number in the thousands and are sold worldwide to manufacturers
serving a broad and diverse range of consumer and industrial
end markets. We operate more than 70 manufacturing, R&D and
operations facilities in approximately 30 countries and employ
approximately 9,000 associates within our four distinct business
divisions. For more information about Huntsman, please visit the
company's website at www.huntsman.com.
Social Media:
Twitter:
www.twitter.com/Huntsman_Corp
Facebook: www.facebook.com/huntsmancorp
LinkedIn: www.linkedin.com/company/huntsman
Forward-Looking Statements:
Certain information in this release constitutes
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. These statements are based on management's current
beliefs and expectations. The forward-looking statements in this
release are subject to uncertainty and changes in circumstances and
involve risks and uncertainties that may affect the company's
operations, markets, products, services, prices and other factors
as discussed under the caption "Risk Factors" in the Huntsman
companies' filings with the U.S. Securities and Exchange
Commission. Significant risks and uncertainties may relate to, but
are not limited to, volatile global economic conditions, cyclical
and volatile product markets, disruptions in production at
manufacturing facilities, reorganization or restructuring of
Huntsman's operations, including any delay of, or other negative
developments affecting the ability to implement cost reductions,
timing of proposed transactions, and manufacturing optimization
improvements in Huntsman businesses and realize anticipated cost
savings, and other financial, economic, competitive, environmental,
political, legal, regulatory and technological factors. The company
assumes no obligation to provide revisions to any forward-looking
statements should circumstances change, except as otherwise
required by applicable laws.
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SOURCE Huntsman Corporation