Kirkland & Ellis advised SK Capital Partners on the formation of a consortium with Heubach Group and the subsequent acquisition of Clariant's Pigments business by the consortium at an enterprise value of CHF 805 million to CHF 855 million, depending on an earn-out payment of CHF 50 million.
The transaction is still subject to customary closing conditions and regulatory approvals and is expected to close in the first half of 2022. At the time of closing, Clariant will reinvest to become a 20% shareholder alongside Heubach and SK Capital in the consortium.
The combined business will be a global pigments player with approx. 3,000 employees generating more than EUR 900 million in annual sales and strong service and production capabilities across the globe.
SK Capital is a private investment firm focused on the specialty materials, chemicals and pharmaceuticals sectors. The company currently manages assets of more than USD 5 billion.
Heubach Group is a leading global manufacturer of organic, inorganic and anti-corrosive pigments and pigment preparations. The company is headquartered in Langelsheim and operates sites in Germany, the US and India as well as sales offices worldwide.
The Kirkland team was led by transactional partners Attila Oldag and David Holdsworth. The team also included transactional partners Christoph Jerger and Rachel Greenhalgh as well as associates Amelia Rolfe, Louis Hopson, Johannes Rowold and Joshua P. Cowin. Furthermore the team included debt finance partners Jocelyn A. Hirsch, Kirsteen Nicol, Thomas James Dobleman and John S. Kefer and associates Stefan Arnold-Soulby, Maurice Walsh and Bridget E. Hahn, antitrust and competition partners Thomas S. Wilson and Shane Cranley as well as associates Philipp Gnatzy and Sandeep Ravikumar, tax partners Timothy Lowe, Daniel Hiemer and Cian O'Connor.