Cabot Corporation to Acquire Norit N.V., the Global Leader in Activated Carbon
Acquisition Adds High-Margin, High-Growth Environmental and Purification Business
"Norit's leading market position, unique technology and strong financial performance is an excellent fit with Cabot's portfolio. This acquisition supports the ongoing transformation of our portfolio to a higher margin, less cyclical, specialty chemicals focused company," said Cabot President and Chief Executive Officer,
Activated carbons are performance materials used in multiple high-end applications including environmental protection, air and water purification, food and beverages, pharmaceuticals and catalysts. Norit operates 10 manufacturing facilities throughout the
"Norit's differentiated products for high-end applications drive substantially higher margins relative to competition. Norit's fundamental business performance generates EBITDA margins in excess of 25 percent and we expect annual revenue growth in the range of 10 percent to 12 percent," said Cabot Chief Financial Officer,
The estimated earnings per share accretion are expected to be in the range of
Cabot expects the acquisition to be financed with a combination of approximately
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About Cabot
About Norit
Norit is the leading provider of activated carbon and related services. With over 90 years of experience, Norit has grown to produce well over 150 different types of activated carbon products, enabling Norit to offer the most choices, precise fit and best performance for any application. Norit also offers activated carbon reactivation, carbon change out services, and both granular and powdered carbon systems and equipment.
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 Measure
The preceding discussion includes a discussion of our future expectations for adjusted EPS, which is a non-GAAP financial measures. In calculating adjusted EPS, we exclude from our net income per share from continuing operations certain items of expense and income that management does not consider representative of the Company's ongoing operations. Adjusted EPS should be considered as supplemental to, and not as a replacement for, EPS determined in accordance with GAAP.
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Cabot Corporation
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