Acquisitions · Activated carbon (water treatment)
Kuraray to buy activated carbon maker Calgon Carbon for about $1.1 billion
- Buyer
- Kuraray (Tokyo)
- Target
- Calgon Carbon, Pittsburgh, Pennsylvania
- Value
- About $1.1B equity ($21.50 a share); over $1.3B including debt; about ¥121.8B
- Status
- Agreed on September 21, 2017; completed in March 2018.
- Date
- 2017-09-21
Kuraray agreed to buy Calgon Carbon, a Pittsburgh maker of activated carbon used to purify water and air, for $21.50 a share in cash. The equity value was about $1.1 billion, and the deal was worth more than $1.3 billion including Calgon Carbon's net debt. Kuraray planned to run Calgon Carbon as a separate subsidiary based in Pittsburgh.
Why it matters
The deal makes activated carbon a core part of Kuraray's water and environment business, adding a large US producer to its own carbon materials operations.
About Calgon Carbon
Calgon Carbon described itself as the world's largest producer of granular activated carbon, with more than 100 types of activated carbon products used for drinking water, wastewater, pollution control and industrial processes. It also offers ultraviolet disinfection. It had about 1,400 employees and 20 production, reactivation and other sites in the US, Asia and Europe.
Deal process
The deal was structured as a merger of a new Kuraray subsidiary into Calgon Carbon and needed approval from Calgon Carbon shareholders and regulators. The companies first aimed to close by the end of December 2017. Goldman Sachs and Mayer Brown advised Kuraray; Morgan Stanley and Jones Day advised Calgon Carbon.
Sources
Kakehashi M&A News home
