Private equity firm CVC Capital Partners is currently exploring a bid for UK chemical manufacturer Synthomer Plc, according to reports. The Luxembourg-based CVC currently manages approximately $111 billion in secured commitments of private equity, credit, and growth funds across Asia and Europe.
According to insiders who asked to remain anonymous, CVC approached the London-based chemical producer in an effort to express its interest in a potential deal. Synthomer’s board revealed on Wednesday, however, that no official discussions are being held as of late with regards to a takeover.
As one of the world’s largest producers of latex for medical gloves, Synthomer has experienced a surge in demand since the start of the coronavirus pandemic. As a result, shares in the company have skyrocketed by 46% in the last year, bringing the company’s market value to approximately $2.8 billion.
Should the sale of Synthomer go through, chemical deals for the year involving European companies would go up to $3.1 billion. According to Bloomberg, this figure is already 74% higher than deals in 2020.
Last month, Synthomer announced that its Chief Executive Officer Calum MacLean would be stepping down from his role by January 2022. MacLean has led the company since 2015, employing over 4,750 people globally.
