Archroma, a global leader in specialty chemicals providing sustainable solutions, is part of US private equity firm SK Capital Partners. The company announced on August 9 that it had signed a definitive agreement with Huntsman to confirm the acquisition of the Huntsman Textile Dyeing and Chemical Division. The combined company will continue to lead the textile industry in sustainability, innovation and product performance, providing the best cost-effectiveness for fashion brands, the automotive industry, technical textiles and home textiles, while respecting natural resources and the planet's environment.
Since its establishment in 2013, through a series of mergers and acquisitions, as well as internal investments in R&D, manufacturing and service capabilities, Archroma has built a comprehensive set of solutions to meet the emerging needs of the textile industry. Huntsman Textile Dyeing has the historical foundation of Huntsman and Ciba Refining, and Archroma's excellent history is inherited from Sandoz, Hoechst, Clariant and BASF. and Dohmen, who have been at the forefront of the textile industry for decades, the merger of the two companies will create a technology empire that will continue to serve customers for years to come.
Both Archroma and Huntsman Textile Effects are founding members of Sustainable Chemistry for the Textile Industry (SCTI), an alliance of leading global chemical companies dedicated to providing the most advanced sustainable chemical solutions for the textile and leather industries. programs to protect factory workers, local communities, consumers and the environment.
Both companies are recognised by the industry and have received multiple awards each for delivering sustainable systems and solutions in dyestuffs and chemicals that help fashion brands, retailers and textile manufacturers create Produce products that are more friendly to consumers and the planet.
Barry Siadat, co-founder of SK Capital Partners and chairman of Archroma, said: "I'm delighted to see Huntsman Textile Effects and Archroma join forces. Ultimately, we've made this dream come true, and we're going to be Ciba , Sandoz, Hoechst and BASF, the technologies, products and capabilities of traditional pioneers in the textile industry combine into a modern, cohesive company focused on delivering innovative and sustainable systems and solutions to meet the changing needs of today’s textile industry.”
Heike van de Kerkhof, CEO of Archroma, commented: "Archroma is very excited to see this merger of equals go smoothly! Through this agreement, two leaders dedicated to sustainable and innovative solutions are united , paving the way for a more sustainable textile industry. Leadership for innovation and change is not built overnight, and we are delighted to welcome the participation of a team of highly qualified individuals, and we are eager to work with the people at Huntsman Textile Effects. achieve this goal.”
Rohit Aggarwal, president of Huntsman Textile Effects, said: "The combination of Archroma and Huntsman Textile Effects is transformative, bringing together two highly complementary organizations with a strong spirit of innovation that will work together to To inspire healthy progress in the textile industry, we are excited to achieve this together. At a time when we see strong growth trends in sustainable development, this combination will position us to accelerate growth with determination, and provide a solid foundation for our customers, employees Create significant value with stakeholders.”
The closing of the transaction is subject to customary conditions and approvals and is expected to close in the first half of 2023. Citi acted as financial advisor to Archroma, Latham & Watkins LLP provided Archroma corporate legal advice, and Kirkland & Ellis LLP provided Archroma Financing legal advice. BofA Securities is serving as financial advisor to Huntsman, and Kirkland & Ellis LLP is serving as legal advisor.