American agribusiness Cargill recently announced that an agreement was forged to purchase the majority of Croda’s performance technologies and industrial chemicals businesses in a $1.03 billion transaction. The company said the deal will expand its ability to sustainable ingredients to industrial manufacturers.
“The bioindustrial space is a priority for Cargill, as we strive to support our customers with innovative, nature-based solutions that deliver real-world benefits,” Colleen May, president of the firm’s Bioindustrial business, said in a release. “Combining our diverse, global supply chain and deep operational expertise with Croda’s extensive industrial business capabilities and broad bio-based portfolio will spark a new wave of innovation and create tremendous value for our customers.”
About 1,000 employees of Croda will join Cargill when the deal closes, and the agribusiness will take possession of several production facilities in Asia and Europe. The transaction also includes the businesses’ technology portfolio, including solutions for automotive, polymer, and food packaging applications.
“Cargill is a company with a long distinguished history and strong values. Under its ownership, the divested business and our talented, hardworking employees can look forward to a bright future,” said Steve Foots, chief executive of Croda, in a statement.
Arkema sold its Epoxides business to Cargill last September for $38.8 million. The company said at the time that the purchase will allow the agribusiness to grow in industrial markets and expand its current position in bio-based products.