Global M&A Briefing: Chemicals and Materials M&A

    View Author December 2013

    Squire Sanders is pleased to announce its fourth Global M&A Briefing, produced in association with MergerMarket. In this latest edition we focus on Chemicals and Materials, reviewing the most recent M&A trends, regional perspectives and the outlook for the market.

    Over the past few years, the chemicals and materials sector has generated increased attention thanks to its solid levels of activity in the face of global slowdown, pointing to continued opportunities for consolidation in several key markets. In this briefing, partners from our chemicals industry group share their insights on all M&A developments.

    Highlights include:

    • 2013 has seen some notable transactions in the chemicals and materials sector – in the biggest of the year to date (YTD), the state-owned Oman Oil Company (OOC) purchased a US$2.4 billion stake in Germany-based Oxea.
    • In 2012-2013 YTD, Asia-Pacific has overtaken North America as the largest target market for chemicals and materials M&A in terms of volume, with a 28.8% share compared to North America’s 23.7%.
    • When comparing the first three quarters of 2013 with those in 2012, private equity buyouts are down 26% in volume to 32 deals, and down 41% in value to US$5.2 billion.
    • Specialty chemicals have been generating a substantial amount of high value M&A activity, with three of the five biggest deals of 2013 YTD coming from this sub-sector.