Breaking News

Ecolab Announces Plan to Buy Back Stock

November 17, 2008

At Henkel’s request, Ecolab has filed a registration statement with the Securities and Exchange Commission that would enable Henkel to sell all 72.7 million Ecolab shares it holds. Ecolab and Henkel have also agreed to amend the stockholder’s agreement between the parties to facilitate the offering.

Ecolab further announced that it has agreed to purchase $300 million of its shares directly from Henkel in conjunction with Henkel’s sale of Ecolab shares. Ecolab will use existing cash balances, commercial paper and committed bank lines to fund the purchase. The purchase is expected to be accretive to Ecolab’s 2009 earnings per share.

“We have had a productive relationship with Henkel,” said Douglas M. Baker Jr., Ecolab's chairman, president and chief executive officer. “Through it, we expanded our global business reach and developed new and better opportunities to serve our customers. Henkel has been a strong and supportive shareholder, and we wish them well in the future.”

Henkel has held an investment in Ecolab since 1989. The investment originated as part of a transaction in which Ecolab and Henkel formed a joint venture in Europe, combining each company’s European commercial cleaning and sanitizing operations. Also at that time, Henkel sold its remaining worldwide commercial cleaning and sanitizing businesses to Ecolab. In 2001, Ecolab purchased Henkel's interest in the joint venture for cash. In August 2007 Henkel announced its intention to acquire the adhesives and electronic materials businesses of National Starch. In February, Henkel announced its intention to sell some or all of its Ecolab shares. More info: www.ecolab.com
blog comments powered by Disqus
  • Cosmetic Chemists Head to Orlando Next Month

    Cosmetic Chemists Head to Orlando Next Month

    September 26, 2016
    Organizing Chair Guy Padulo explains why you should attend the IFSCC Congress.

  • Restoring Rembrandt

    Restoring Rembrandt

    Christine Esposito, Associate Editor||September 26, 2016
    Ranir LLC has acquired Rembrandt, an iconic name in teeth whitening, and plans to make it a staple in the value segment.

  • Active Agents

    Active Agents

    September 19, 2016
    On the surface, surfactants may seem staid, but the market, and the supplier activity driving it, is bubbling.

  • Back to School

    Back to School

    Tom Branna, Editorial Director||September 1, 2016
    It may be September, but class was in session this summer during the Private Label Manufacturers Association’s Executive Educ

  • How Green Is Your Surfactant?

    How Green Is Your Surfactant?

    Tom Branna, Editorial Director ||September 1, 2016
    Suppliers offer a range of solutions to help household and personal care product formulators develop formulas

  • New Surfactants

    Tom Branna, Editorial Director ||September 1, 2016
    Here’s a list of new ingredients introduced by surfactant suppliers