In this edition of European Chemicals Update from Kroll Corporate Finance, we evaluate current trends for key raw materials, prevailing investor sentiment and valuation developments in the featured pharma chemicals sub-sector.

European Chemicals Update – Q4 2021

Top Insights
  • Key raw materials prices in the chemicals sector continued to increase in Q3 2021 driven mainly by growing seasonality-induced demand and OPEC+ countries continuing to keep supply tight.
  • Next, the ifo Business Climate Index for the German chemical industry remained positive in Q3 2021, with both current conditions and expectations on performance remaining positive. This indicates that German companies have strong confidence in current business activities and remain optimistic about the near future.
  • Finally, in the pharma chemical sub-sector, featured companies showed an increase in market capitalization at various degrees. Top performers, including Merck KGaA and Lonza Group Ltd, generated over 50% and 26% share price gains in the last 12 months respectively while share price of Novozymes A/S increased approximately by 11%.

Corporate Finance and Restructuring

M&A advisory, restructuring and insolvency, debt advisory, strategic alternatives, transaction diligence and independent financial opinions.

Mergers and Acquisitions (M&A) Advisory

Kroll’s investment banking practice has extensive experience in M&A deal strategy and structuring, capital raising, transaction advisory services and financial sponsor coverage.

Industrials Investment Banking

Industrials expertise for middle-market M&A transactions.

Transaction Advisory Services

Kroll’s Transaction Advisory Services platform offers corporate and financial investors with deep accounting and technical expertise, commercial knowledge, industry insight and seamless analytical services throughout the deal continuum.

Fairness and Solvency Opinions

Duff & Phelps Opinions is a global leader in Fairness Opinions and Special Committee Advisory, ranking #1 for total number of fairness opinions in the U.S., EMEA (Europe, the Middle East and Africa), Australia and Globally in 2023 according to LSEG (FKA Refinitiv).

Financial Sponsors Group

Dedicated coverage and access to M&A deal-flow for financial sponsors.

Distressed M&A and Special Situations

Kroll professionals have advised hundreds of companies, investors and other stakeholders at all stages of distressed transactions and special situations.

Private Capital Markets – Debt Advisory

Kroll has extensive experience raising capital for middle-market companies to support a wide range of transactions.

Valuation Advisory Services

Our valuation experts provide valuation services for financial reporting, tax, investment and risk management purposes.