Arkema Wraps up Financing Package for Bostik
French specialty chemicals producer Arkema said it has successfully wrapped up financing for its acquisition of German adhesives manufacturer Bostik from its former parent company Total.
A price tag was not disclosed when the deal was announced in September of last year. News agencies, however, put the figure at around €1.74 billon.
At the time, Arkema said the acquisition was designed to expand its position in a fragmented global adhesive and sealants market. With annual sales of just over €1.5 billion and nearly 5,000 employees, Bostik claims to be world's number three adhesives producer.
In the final phase of the financing, Arkema said it has now completed a bond issue with a 10-year maturity and a 1.50% coupon. Taking advantage of favourable market conditions and supported by a strong oversubscription level, it said the issue was valued at €700 million.
In October 2014, the company completed a €700 million euro hybrid bond issue and in December increased its share capital through a €350 million rights issue.
