FRANKFURT, May 3 (Reuters) - BASF SE and Solenis have agreed to combine their paper and water chemicals businesses, BASF said on Thursday.
The combined business, which had pro-forma sales of 2.4 billion euros ($2.88 billion), will be 49 percent owned by BASF, while funds managed by private equity firm Clayton, Dubilier & Rice will hold the rest, it said.
No financial details of the transaction were disclosed.
BASF has embarked on an organisational revamp. It has agreed to spend billions on agricultural seed assets from peer Bayer . BASF is also planning to merge its oil and gas division with rival DEA and float it on the stock exchange.
But Martin Brudermueller, who will take over as CEO has thrown his weight behind the chemical group’s strategy of keeping divergent businesses folded into one company, at a time when its major rivals such as DowDuPont are breaking themselves up. ($1 = 0.8339 euros) (Reporting by Maria Sheahan Editing by Arno Schuetze)