It’s the largest acquisition in Evonik’s history.
For a price of €3.5 billion, or $3.8 billion, Germany’s second-largest chemicals firm agreed on Friday to buy the specialty chemicals operations from the U.S. industrial gas producer Air Products and Chemicals.
The deal is not a steal, even though it comes with €500 million in tax benefits. Essen-based Evonik is paying 15 times more than what the businesses it’s buying made in operational profits last year. The businesses being purchased had a combined revenue of $1.1 billion.