ZURICH (Reuters) - Sika has agreed to sell part of its admixture business to UK-based chemical and energy group INEOS, the Swiss construction chemicals maker said on Monday.
The deal is intended open the way for Sika to complete its acquisition of MBCC Group, the former BASF Construction Chemical business, by resolving the concerns of competition authorities.
No cash value was given for the sale of MBCC's admixture assets in the United States, Canada, Europe and Britain, and the entire MBCC business in Australia and New Zealand.
The business being sold generated sales of around 920 million Swiss francs ($995.46 million) in 2022 and includes production sites and offices in 36 countries with more than 1,600 employees.
"The agreement with INEOS Enterprises marks a key milestone in Sika’s acquisition of MBCC Group, said Sika Chief Executive Thomas Hasler in a a statement.
Sika expects to complete the acquisition of MBCC in the first half of 2023.
($1 = 0.9242 Swiss francs)
(Reporting by John Revill; Editing by Paul Carrel)