BASF Sells Coatings Business to Carlyle
Chemical company BASF has sold its coatings business to private equity firm Carlyle in a €7.7 billion deal.
The deal covers automotive and surface treatment businesses and follows the earlier sale of decorative paints.
Details of the Deal
- The new firm is valued at €7.7 billion.
- Carlyle, partnering with Qatar Investment Authority, is acquiring 60% of the new firm.
- BASF is retaining 40% of the new firm.
Coatings was subject to intense competition from other global players, says market analyst Joshua Aguilar at investment research company Morningstar.
The division consists of automotive coatings, automotive refinish coatings and surface treatment businesses.
This move follows BASF’s $1.15 billion sale of its Brazilian decorative coatings business to Sherwin-Williams in February.
Author summary: BASF sells coatings business to Carlyle.