Cabot Corporation to Acquire Mexican Carbon Black Producer NHUMO
Cabot to Acquire Remaining 60 Percent of Joint Venture Which Adds 140,000 Tons of Capacity to Its North American Footprint
“This acquisition not only increases Cabot’s footprint in
With 18 plants globally, and capacity in excess of two million tons, Cabot is the world’s leading producer and marketer of carbon black. Cabot has owned approximately 40 percent of the joint venture since 1990. The plant has an annual capacity of 140,000 metric tons and is located in
“We are excited to bring this plant, and the NHUMO team, fully into the Cabot network,” said President of the Reinforcement Materials segment,
The earnings per share accretion is estimated to be approximately
About Cabot
Forward-Looking Statements
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release involving the Company that are not statements of historical fact are forward-looking statements and are subject to risks and uncertainties inherent in projecting future conditions, events and results. Such forward-looking statements include statements regarding Cabot’s expectations pertaining to the timing of completion of the acquisition, the expected benefits of the acquisition and Cabot’s future financial performance, including expectations for growth. Such expectations are based upon certain preliminary information, internal estimates and management assumptions, expectations and plans. For a discussion of the risks and uncertainties that could cause results to differ from those expressed in the forward-looking statements, see "Risk Factors" in the Company's Annual Report on Form 10-K.
Use of Non-GAAP Financial Measures
The preceding discussion includes a discussion of our future expectations for adjusted earnings per share (EPS), which is a non-GAAP financial measure. In calculating adjusted EPS, we exclude certain items of expense and income that management does not consider representative of the Company's ongoing operations, which will include advisor fees associated with the acquisition and purchase accounting adjustments. Adjusted EPS should be considered as supplemental to, and not as a replacement for, EPS determined in accordance with GAAP.
Adjusted EBITDA for the joint venture is a non-GAAP financial measure and refers to earnings before interest, taxes, depreciation and amortization, and shareholder fees.
Source:
Cabot Corporation
Vanessa Craigie, 617-342-6015
Corporate Communications
or
Erica McLaughlin, 617-342-6090
Investor Relations