Ashland to sell water unit to private equity for $1.8 billion

摘要

Ashland, on 18 February, agreed to sell its water technologies business, a supplier of water treatment and pulp and paper process chemicals, to private equity firm Clayton, Dubilier & Rice (CD&R; New York) for $1.8 billion, ending a months-long divestiture process. The deal will result in $1.4 billion in net aftertax proceeds to Ashland, of which S1.35 billion will go towards a new share repurchase program. Ashland's water unit generates $1.7 billion/year in revenues, 67% of which is derived from pulp and paper process chemicals and 33% of which is from industrial and municipal water treatment sales.