EC clears Henkel bid for former ICI units
18 February 2008 14:10 [Source: ICIS news]
PARIS (ICIS news)--The takeover of the former adhesives and electronic materials business of ICI by Germany’s Henkel has been approved, the European Commission (EC) said late on Friday.
The deal, announced in August last year, will see Henkel buy the two business units – which in fact belong to ICI subsidiary National Starch and Chemical Co – from Netherlands chemical company Akzo Nobel, which completed its takeover of ICI in January.
EC competition authorities said that the acquisition would have no significant impact on competition in the EU, even though there is some overlap between the two producers.
Both Henkel and National Starch are active in industrial adhesives, electronic adhesives and materials and, to a lesser extent, industrial surface treatments - all areas where there are already several competing firms.
“A majority of customers confirmed that they do business with several suppliers, rather than depending on a single supplier,” the EC said in a statement approving the deal.
Henkel said that it would pay £2.7bn ($5.3bn/€2.6bn) for the businesses, which had sales of around £1.26bn in 2006.
(£1 = $1.96/€1.33)
ICIS Copyright © Reed Business Information 2009
Author: Chris Jones+44 20 8652 3214
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