Synthomer - comment

Completion of the Acrylic Monomers business to Mutares is a positive for Synthomer, but bonds have priced this in already. Synthomer announced today the completion, with timing in line with previous communication and the announcement was therefore expected. The disposal removes a negative EUR 10m EBITDA impact at EUR 68m sales in FY2025 but has been reported under discontinued operations in H1 2026, during which performance improved to break-even. The consideration comprises a cash generation sharing arrangement of up to EUR 12m over three years with no initial consideration at closing. To account for normalised working capital requirements, the business will come with c. EUR 0.5m cash. The sale is in line with Synthomer's overall strategy to become smaller and more specialty chemicals focused. It was part of the Health & Protection and Performance Materials division, which is mostly base chemicals.