Clariant AG (SWX:CLN) agreed to acquire Lucas Meyer Cosmetics Canada, Inc. from International Flavors & Fragrances Inc. (NYSE:IFF) for approximately $810 million on October 30, 2023. As for consideration, purchase price of $810 million on a debt-free, cash-free basis, equivalent to an EV/ reported EBITDA multiple of 16.3x. Cash proceeds from the proposed transaction net of taxes and expenses will be used to reduce outstanding debt. The funding for the acquisition has been secured by a fully committed bridge facility which is intended to be refinanced soon after completion. As of October 30, 2023, Lucas Meyer Cosmetics Canada, Inc. reported a revenue of $100 million for the last 12 months ended October 30, 2023. Transaction is subject to applicable works council consultations and customary closing conditions, including regulatory clearances. Transaction is expected to close in Q1, 2024. Morgan Stanley & Co. LLC acted as financial advisor and Brandon Van Dyke, Michael J. Cardella, Frederic Depoortere, Nathan W. Giesselman, Bruce Goldner, Page W. Griffin, Armand W. Grumberg, Kyle J. Hatton, Rachel M. Kurth, Thomas Perrot, Resa K. Schlossberg of Skadden, Arps, Slate, Meagher & Flom LLP acted as legal advisor to International Flavors & Fragrances Inc. Sebastian Tiller, Jihyun Chung, Isaac Hudis, Drew Purcell, Jeannine McSweeney, Marisa Geiger, Steve DeLott, Krista McManus, Michael Isby, Peter Guryan, Mick Tuesley, Mark Brod, Shahpur Kabraji and Andrew Bechtel of Simpson Thacher & Bartlett LLP acted as legal advisors to Clariant AG.

Clariant AG (SWX:CLN) completed the acquisition of Lucas Meyer Cosmetics Canada, Inc. from International Flavors & Fragrances Inc. (NYSE:IFF) on April 3, 2024. As a part of Clariant, the business will continue to deliver innovative ingredients for the cosmetic and personal care product portfolio.