Mar 2 2010
Solutia Inc. announced a definitive agreement to acquire Etimex Holding’s wholly-owned subsidiary, Etimex Solar, has been reached. Solutia will acquire the company for euro 240 million to be paid from its cash reserves and through additional debt. Ethylene vinyl acetate (EVA) encapsulants are being supplied by Etimex Solar to the PV market. The purchase of Etimex Solar is in line with Solutia’s strategic plan to enhance its performance materials and specialty chemicals portfolio.
Solutia produces polyvinyl butyral (PVB) encapsulants, and now with the acquisition of Etimex Solar, the company has increased its capabilities to provide solar encapsulant solutions to the solar global market. The company will be able to provide a wide range of products to its customers through this acquisition.
Chairman, president and chief executive officer of Solutia, Jeffry N. Quinn, said the acquisition of Etimex Solar will support the company’s development strategy as well as help to expand its end markets and strengthen its core competencies. The company will be able to access additional markets with both PVB and EVA encapsulant manufacturing capabilities. Quinn further said the company is pleased with the acquisition and its potential for Solutia's future success.
VistaSolar products manufactured by Etimex Solar in Germany offer EVA films with super-fast curing properties and new TPU (thermoplastic polyurethane) films, which do not require curing. The business reported $31 million net income in 2009 and about $34 million 2009 EBITDA. The transaction is anticipated to be closed during 2010 second quarter subject to governmental approvals and customary closing conditions. The financial advisors are Kirkland & Ellis LLP and Deutsche Bank Securities Inc.
Source: www.solutia.com