Buyout group Advent has agreed to sell German coating resins maker Allnex to Thailand’s PTT Global Chemical for around 4 billion euros ($4.75 billion), the companies said on Monday.
Allnex, whose products are used in the industrial metal, automotive and packaging industries, has annual revenue of 2 billion euros and employs 4,000 employees worldwide. The deal values Allnex at 12.2 times its annual core earnings.
Advent acquired Cytec Industries’ coating resins business in 2013, rebranded it Allnex and merged it with peer Nuplex in 2016.
PTTGC is a unit of Thailand’s energy group PTT, which is seeking to strengthen its chemicals business. The deal will improve Allnex‘ access to raw materials and to the Asian market, which has strong growth potential for coating resins, the companies said.
The deal is expected to close in the fourth quarter.