US chemical and ingredients distributor Univar Solutions is to be acquired by New York private equity firm Apollo Global for $8.1 billion.
The deal, expected to close in the second half of the year, will see Abu Dhabi Investment Authority take a minority stake in Illinois-based Univar Solutions.
The agreement will result in Univar Solutions shareholders receiving $36.15 per share in cash, which represents a 20.6% premium to the closing stock price on 22 November 2022.
Upon completion of the transaction, shares of Univar Solutions common stock will no longer trade on the New York Stock Exchange, and Univar Solutions will become a privately held outfit.
The company will continue to operate under the Univar Solutions name and brand and maintain a global presence.
“Over the last three years, we have transformed the company, putting the customer at the centre of all we do, which has solidified our position as a leading value-added service and solution provider. This transaction reflects the success of our strategy and delivers substantial value to our shareholders,” said David Jukes, president and chief executive officer of Univar Solutions.
“In Apollo, we are pleased to gain a partner to support continued investment in our portfolio and I look forward to working closely with their team as we grow Univar Solutions and serve our key suppliers and customers globally,” he added.
Apollo private equity partner Sam Feinstein said: “In recent years, David and his team have made tremendous progress enhancing the customer experience, and we believe Univar can accelerate its long-term strategy as an Apollo portfolio company.
“We look forward to leveraging our extensive experience in the sector to support management in this exciting next phase.”