04.15.19
Merck KGaA, Darmstadt, Germany, signed a definitive agreement to acquire Versum Materials, Inc. for $53 per share in cash.
The business combination has been unanimously approved by the Executive Board of Merck KGaA and by Versum’s Board of Directors.
“With this transaction, Merck KGaA, Darmstadt, Germany, will be optimally positioned to capitalize on long-term growth trends in the electronic materials industry,” said Stefan Oschmann, chairman of the Executive Board and CEO of Merck KGaA.
“The Merck-Versum transaction offers compelling and certain value for our shareholders and will provide long-term benefits for our customers and employees," said Seifi Ghasemi, chairman of Versum. "This exciting business combination will create increased scale, product and service depth, enhanced global presence, strengthened supply chain and combined R&D capabilities, driving leading innovation.”
Versum reported annual sales of approximately €1.2 billion ($1.4 billion) in FY2018, has approximately 2,300 employees and operates 15 manufacturing and seven research and development facilities throughout Asia and North America.
Merck KGaA intends to maintain Versum’s Tempe, AZ headquarters as the major hub for the combined electronic materials business in the US. Over the past decade, the company has invested approximately $24 billion in the U.S. through acquisitions alone, including the successful acquisitions of Millipore in 2010 and Sigma-Aldrich in 2015.
The transaction is expected to close in the second half of 2019, subject to the approval of Versum stockholders at a Versum special meeting, regulatory clearances and the satisfaction of other customary closing conditions.
