Beachwood, Ohio-based OMNOVA Solutions, which provides laminate materials for RV interiors, has entered into a definitive agreement to be acquired by Synthomer, a U.K.-based specialty chemical company, for $10.15 per share in cash. The company also reported its second quarter fiscal 2019 earnings, which included the tenth consecutive quarter of year-over-year volume growth in its Specialty Solutions segment.
“Today, we announced that we have entered into a definitive agreement under which Synthomer will acquire all of the outstanding common shares of OMNOVA Solutions for $10.15 per share in an all-cash transaction,” said Anne Noonan, CEO of OMNOVA. “The offer price represents a premium of 52 percent over OMNOVA’s three-month weighted average share price of $6.67. The transaction has been approved unanimously by the OMNOVA and Synthomer boards of directors. We are pleased that Synthomer recognizes the hard work of our employees in executing our multi-year transformation into a leading global specialty solutions provider. … This transaction presents increased opportunities for the business and its employees to leverage the combined scale, grow more quickly and profitably, and enhance product innovation in ways that will benefit customers and employees.”
Completion of the transaction is subject to the satisfaction of certain customary closing conditions, including the receipt of regulatory approvals, and approval from Synthomer’s and OMNOVA’s shareholders. The transaction is not contingent on obtaining financing and is expected to close in late 2019 or early 2020.