logo
Share SHARE
FONT-SIZE Plus   Neg

Solvay To Sell Its 50% Stake In Pipeline To Wienerberger For 172 Mln. Euros

Brussels-based chemicals group Solvay said Wednesday it has signed a binding agreement to sell its fifty percent stake in Pipeline to brick producer Wienerberger. Pipelife, a supplier of plastic pipe systems, is equally owned by Solvay and Wienerberger.

As per the terms, Solvay said it will receive 172 million euros in cash for the shares, including a special dividend of 10 million euros.

For Solvay, the deal represents an Enterprise Value of about 257 million euros for its 50% stake when taking into account assumption of liabilities, including pensions and other debt-like items, for about 85 million euros.

The closing of the deal is expected in the second quarter 2012, after obtaining the usual antitrust authorizations.

Solvay said it will use the proceeds from the sale to pursue its strategy of sustainable and profitable growth and focus on more strategic activities.

Vienna, Austria-based Pipeline is one of the world's leading suppliers of plastic pipe systems. The company employs about 2.600 employees in 27 countries and realized about 800 million euros in sales in 2011.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Gambling resorts operator Wynn Resorts Ltd. (WYNN), has again postponed the opening of its Wynn Palace casino resort in Macau to August. The opening of the $4 billion hotel project in Macau, the gambling hub in China, was initially planned on March 25, but was later dropped due to construction delays.... PepsiCo Inc., (PEP) Monday confirmed that it would bring back the Diet Pepsi with aspartame in the US stores in September, one of the latest efforts by the beverage giant to boost its slowing sales. The company said it would continue to sell sucralose-sweetened Diet Pepsi, which was launched last... Burger giant Wendy's Co. (WEN) Monday announced its entry in to the Brazilian market through a joint venture with affiliates of Sao Paolo-based Infinity Services and Starboard, one of Wendy's largest U.S. franchisees and a subsidiary of the fast-food company. Wendy's Brazil plans to hold the grand...
comments powered by Disqus
Follow RTT