Davis Polk is advising Solvay on the divestiture to Domo Chemicals of the Polyamide assets that needed to be divested to a third party as part of the European Commission’s merger control clearance process of the divestment of Solvay’s remaining Polyamides business to BASF. BASF will acquire all the activities that are not included in the remedy package and that are part of the original agreement between Solvay and BASF signed at the end of 2017. The entire transaction, which is based on a purchase price of €1.6 billion on a debt free and cash free basis, is expected to be completed by the end of 2019.
Solvay is an advanced materials and specialty chemicals company, headquartered in Brussels, with around 24,500 employees in 61 countries, listed on Euronext Brussels and Paris. The assets acquired by Domo involve Solvay's Performance Polyamides facilities at Belle-Etoile and Valence, as well as a stake in a newly created joint venture between BASF and Domo in Chalampé (France). They also involve sites in Gorzow (Poland), Blanes (Spain) and commercial activities in Germany and Italy. Domo is a fully integrated nylon 6 specialist, providing specialized engineering materials solutions to its customers in the automotive, electrical, construction, industrial applications and consumer goods industries.
The Davis Polk corporate team includes partner Jacques Naquet-Radiguet and associates Ferdinand Barbé and Stéphane Daniel. All members of the Davis Polk team are based in the Paris office.