Strategic Value Partners’ acquisition of OQ Chemical has been approved by the European Commission, the commission announced on its website.
The commission decided that under the European Union Mergers Regulation the two entities’ operations are dissimilar enough that it would not create concerns about a lack of competition in the marketplace.
SVP indirectly acquired 74.99% of OQ’s issued share capital, which gave the new owner majority voting rights. Strategic Value Partners is an investment firm with operations in North America and Europe.
The deal includes both OQ Chemicals International Holding GmbH and OIG OQ Infrastruktur GmbH, collectively referred to as called OQ Chemicals.
Last year, the company shed its esters plant in Amsterdam to Sweden’s Perstorp Group and then announced early this year that it was opening a dedicated heptanoic acid line on Oberhausen, Germany.
OQ is has the capacity to produce 1.3 million metric tons per year of oxo intermediates and oxo performance chemicals. These include aldehydes, alcohols, amines, carboxylic acids, polyols and esters used in lubricants coatings, plasticizers, paints and inks.
SVP took the reigns at OQ Chemicals after a couple of other suitors shied away. It bought €242 million in debt and turned it equity, according to Bloomberg. OQ had been in debt to the tune of €1 billion.