‘Billion dollar deal’ was not a phrase bandied about the food ingredients industry much last year. With BASF buying Cognis for €3.1bn and Corn Products International paying $1.3bn for National Starch, M&A looks to be thawing – but best not get over-excited...
Speculation about typical asset valuing ion the chemicals industry by Cognis’s chief financial officer, Marco Panichi, has led to a figure of €3.4bn being attached to the German ingredient company, as buy-out speculation mounts.
German chemicals and nutrients giant Cognis has turned in its best ever Q1 operating profit as sales across its three core divisions exceeded 2008 pre-financial crisis volumes in 2008 for the first time - fueling ongoing buy-out speculation.
BASF continues to be the subject of rumours that its supervisory board has approved a takeover bid for fellow German supplier, Cognis, which is owned by Permira PERM.UL and Goldman Sachs Capital Partners.
Cognis claims to have steered a steady course through last year’s economic upheaval. But despite a return to profitability, the downturn took its toll on nutrition and health and care ingredients sales.
Tate and Lyle is in a strong position to perform above expectation
in the second half of the financial year, says Goldman Sachs,
thanks to the positive effect of a large US corn crop for 2008 -
and therefore lower prices - on high...
Cognis has refused to confirm reports in the German press that it
is in advanced discussions with three potential purchasers, but the
outcome of a strategic review will be made public before the end of