Arkema Acquires Dow's Adhesive Business
Deal News | Dec 16, 2024 | Legal Community Italy
Arkema has acquired the flexible packaging adhesives business from Dow for an enterprise value of $150 million. This acquisition will also require approximately $50 million in implementation costs and investments over the next three years. Legal representation for Arkema was provided by Delfino e associati Willkie Farr & Gallagher for the Italian segment of the transaction, with international aspects managed by Proskauer. The Carnelutti Law Firm handled fiscal and accounting aspects for Arkema, while Gianni & Origoni supported Dow in the transaction. Dow's legal representation for environmental, M&A, real estate, labor law, and golden power aspects was extensive, involving numerous partners and associates from Gianni & Origoni. Mayer Brown, a U.S. firm, also provided advisory assistance to Dow. The transaction reflects Arkema's strategic maneuvering to bolster its adhesive capabilities and market presence.
Sectors
- Chemicals
- Legal Services
Geography
- Italy – Part of the transaction involved legal representation and advisors based in Italy.
- United States – Dow, an American firm, is involved, and Mayer Brown, a U.S. law firm, provided advisory support.
Industry
- Chemicals – The chemicals industry is relevant as Arkema and Dow are involved in the production and sale of chemical products, including adhesives for flexible packaging.
- Legal Services – Legal services are prominently featured due to the involvement of various law firms handling different aspects of the acquisition process.
Financials
- $150 million – Enterprise value of the transaction for the acquisition of Dow's adhesives business.
- $50 million – Expected implementation costs and investments needed in the next three years post-acquisition.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Arkema | Bidding Company | Company | A global chemicals company focused on materials for adhesive and coatings products. |
| Dow | Target Company | Company | A multinational corporation specializing in chemicals, polymers, and agricultural products. |
| Delfino e associati Willkie Farr & Gallagher | Legal Advisor | Company | Provided legal advice to Arkema for the Italian part of the acquisition. |
| Carnelutti Law Firm | Legal Advisor | Company | Assisted Arkema with fiscal and accounting aspects of the transaction. |
| Gianni & Origoni | Legal Advisor | Company | Assisted Dow with various legal aspects during the acquisition. |
| Proskauer | Legal Advisor | Company | Handled the international aspects of Arkema's acquisition. |
| Mayer Brown | Legal Advisor | Company | Provided advisory assistance to Dow. |