German chemicals group Bayer AG has sold its Rhein Chemie Rheinau GmbH [RCR] subsidiary to US private equity group Advent International for E215m.
RCR was considered to be non-core by Bayer in its strategic review late last year. It, along with several other business units, were put up for sale in December 2001. The business had a turnover of €346m in 2001 [down from €376m in 2000].
In July this year Bayer agreed to sell its flavours and fragrances manufacturing unit, Haarmann & Reimer, to EQT Northern Europe Private Equity Funds in a deal that netted the German chemicals and pharmaceuticals group E1.66bn.
Armin Burmeister, the company's CEO for the previous two years, was moved to another part of Bayer at the end of May this year. Dr. Anno Borkowsky, currently CTO and Regional Manager Europe for the firm replaced him.
The company supplies customized active ingredient preparations and specialty chemicals for a wide range of companies in the rubber, lubricant, polyurethane, plastics and leather industries. Rhein Chemie and its subsidiaries employ 1,100 people worldwide, including 670 at its two sites in Germany.
Advent has acquired the entire RCR business, which includes affiliates in the US and Japan as well as a joint venture in China. The sale, expected to be completed in early November, remains subject to regulatory approvals.