Solutia to Purchase Solar-Supplies Firm

"Chemicals manufacturer Solutia Inc. is buying Etimex Solar, a maker of chemicals used in solar panels, in a $326 million deal expected to be announced Monday.

Closely held Etimex Solar GmbH, a division of German plastics firm Etimex Holdings GmbH, makes a film that covers and weatherizes solar panels. It had 2009 annual sales of around $67 million and earnings of $34 million, according to Solutia.

For the Etimex acquisition, Solutia will pursue a new financing package to help fund the deal and adjust its capital structure, going into the high-yield markets to raise new capital. Deutsche Bank andlaw firm Kirkland & Ellis advised Solutia. Jefferies advised Etimex."

This article appeared in its entirety in the March 1, 2010 edition of The Wall Street Journal.