Cabot Buying Norit For $1.1B
BOSTON (AP) -- Chemical and specialty products maker Cabot Corp. is buying Norit NV for $1.1 billion in order to strengthen its specialty chemicals portfolio.
Norit specializes in activated carbon products, which are used in environmental protection, air and water purification, food and beverages, pharmaceuticals and catalysts. It has manufacturing operations in Europe and the Americas.
Boston-based Cabot is buying Norit from affiliates of Doughty Hanson & Co. Managers Ltd. and Euroland Investments BV.
The deal is expected to close this year. It requires approval of U.S. and German regulators and consultation with the Dutch labor council.
Cabot said Thursday that it expects to fund the deal with about $200 million in cash and $300 million of borrowings under an credit agreement. It also plans to issue about $600 million of long-term debt.