On December 21, German time, BASF signed an agreement with lone star fund, a global private equity company, to acquire BASF's construction chemicals business, with a purchase price of EUR 3.17 billion in cash plus debt. The deal is expected to be completed in the third quarter of 2020, subject to regulatory approval.
The construction chemicals business is under the surface treatment technology sector of one of BASF's six divisions. In the first three quarters of this year, the business generated 1.9 billion euros in revenue, an increase of 4% over the same period last year. In 2018, the business's annual revenue was 2.5 billion euros, accounting for 4% of BASF's total revenue. The business currently has about 7000 employees and the product line covers concrete additives, cement additives, sealants, etc.
&"Our goal is to find a new home for the construction chemicals business that can give full play to its potential," said Sari & middot; Dubh, a member of BASF's executive board and head of the construction chemicals business. &"Under lone star, the construction chemicals team can focus on a growth path in an industry-specific way. ”
&"BASF's construction chemicals business is well aligned with our portfolio and complements investment in the construction materials industry," said Donald Quintin, President of lone star Europe.

In 2006, BASF acquired the chemical construction business from Degussa for 2.7 billion euros.
On November 20, 2018, BASF launched a new corporate strategy in Ludwigshafen, Germany. BASF's organizational transformation has become more customer-centric. Since January 1, 2019, BASF has also adjusted its organizational structure. The previous four business areas have been adjusted to six business areas, including chemicals, materials, industrial solutions, surface treatment technology, nutrition and care, and agricultural solutions.
In addition, BASF actively manages the product portfolio and constantly examines whether the business can achieve greater potential through different ways of operation, such as setting up a joint venture or operating independently outside the group. In this context, BASF announced in October 2018 that it would assess strategic options for its chemicals business, including seeking strong merger partners or divestitures.
On August 29, BASF announced an agreement with DIC, a Japanese fine chemicals company, to sell its global pigment business to the latter. The exchange's cash and debt free purchase price of EUR 1.15 billion is expected to be completed in the fourth quarter of this year.
BASF and DuPont security and Construction announced on September 24 that they had signed an agreement to sell their ultrafiltration membrane business to DuPont.