Cytec have announced that they have completed the acquisition of Umeco Plc, a process that begin back in April of this year
The $439 million acquisition is in line with Cytec’s growth strategy to expand the companies status in the industrial sector and to bolster its technology in advanced composites.
Cytec hopes that the companies Engineered Materials segment and the Umeco segment will be reformed into two new segments, one to serve the aerospace sector and the second for industrial materials.
Shane Fleming, Chairman, President and Chief Executive Officer of Cytec said;
We are excited about the completion of this transaction and welcome Umeco employees to the global Cytec team. we are confident the acquisition strengthens our position as a leading manufacturer of advanced composite materials and offers significant opportunities for growth and value creation. We are all committed to a successful integration of our businesses.
The transaction is expected to increase Cytec’s earnings per share with the EPS accretion for the remainder of 2012 estimated to be $0.20 per share. The acquired business will initially be reported as a separate segment.