Clariant announced that it has completed the acquisition of Lucas Meyer Cosmetics from IFF for an Enterprise Value (EV) of $810 million (CHF 720 million). The purchase price will be subject to customary net debt and working capital adjustments.
Clariant has consolidated Lucas Meyer Cosmetics in its Business Unit Care Chemicals as of April 2, 2024. The acquisition was funded through the issuance in March 2024 of a CHF 350 million dual-tranche (CHF 200 million for three years at 2.375 % and CHF 150 million for seven years at 2.75 %) senior unsecured bond and through a multi-currency bridge facility at an interest rate of around 4.4 % per annum, which is intended to be refinanced in 2024, subject to market conditions. Clariant expects no change to its investment-grade credit rating after closing.
“The acquisition of Lucas Meyer Cosmetics is a prime example of how we implement our purpose-led growth strategy and support our goal of accelerating customer- and sustainability-driven innovation,” said Conrad Keijzer, chief executive officer of Clariant. “The complementarity in customer portfolio, product portfolio, and regional strongholds and capabilities in R&D and in marketing make the combination of Clariant and Lucas Meyer Cosmetics a leading solutions provider for high-value personal care brands.”
“I see the acquisition of Lucas Meyer Cosmetics as a significant step forward for Care Chemicals. Customers as well as consumers increasingly demand high-value natural ingredients,” said Christian Vang, president of the Clariant Business Unit Care Chemicals and the Americas region.
“I extend a warm welcome to 190 highly qualified professionals as our new colleagues at Clariant. We jointly look forward to exciting growth opportunities and expect to increase annual sales to $180 million in 2028 from around $100 million currently.”
