Evonik said to be looking at taking over Clariant

FOCUS above the flat development of its relevant markets. Nominally, sales increased by 1.0% to €4626 M. With a double-digit increase, the emerging markets were once again the major contributor to organic sales growth in 2014. Eastern Europe delivered a solid sales performance despite increasing competition in the region's individual countries. The Africa/Middle East region recorded double-digit growth again. Sales in Latin America showed very strong growth. Sales in Asia (excluding Japan) also registered a very strong increase. Sales in the mature markets remained slightly below the previous year level, with performance varying by region. Sales in North America decreased in a market environment affected by intense price and promotional competition. Solid sales growth in Western Europe compensated for this decline. Adjusted operating profit grew by 4.8% to €749 M. Adjusted return on sales improved by 0.6 percentage points to an all-time high of 16.2%. Reported operating profit was €615 M compared to €682 M in 2013. Henkel's beauty care BU extended the profitable growth of previous years in 2014. With a solid increase in organic sales of 2.0% the unit's overall growth rate was again significantly above that of its relevant markets. Nominally, sales increased by 1.0% from €3510 M in 2013 to €3547 M. From a regional perspective, business performance was particularly strong in the emerging markets. Asia (excluding Japan) matched the successes of previous years, achieving double-digit organic sales growth with significant contribution from operations in China. Despite political instability, growth was very strong in the Africa/Middle East region and solid in Eastern Europe. Sales declined in Latin America, primarily due to the difficult market situation in Venezuela. In the mature markets, organic sales were slightly negative. However, beauty care recorded positive sales growth in Western Europe despite market stagnation and, in some cases, market contraction. By contrast, sales in the mature markets of the AsiaPacific and North America regions fell short of the 2013 level. Adjusted operating profit increased by 3.5% versus 2013, to €544 M, the BU's highest result in date. Adjusted return on sales rose by 0.3 percentage points

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to 15.3%. Reported operating profit was €421 M compared to €474 M in 2013. Original Source: Henkel AG & Co KgaA, 4 Mar 2015 (Website: http://www.henkel.com) © Henkel AG & Co KGaA 2015

UK Croda 2014 profit falls on slow first half year Croda's 2014 profit declined 7% year on year to £165.2 M, attributed to difficult trading conditions in 1H 2014, as well as the continuous weak trading environment in Europe. Adjusted operating profit decreased by 6.15% to £248.4 M. Sales fell by 2.8% to £1.05 bn. Original Source: ICIS Chemical Business, 2-8 Mar 2015, 287 (9), 6 (Website: http://www. icis.com) © Reed Business Information Limited 2015

COMPANY NEWS Evonik said to be looking at taking over Clariant Evonik Industries is said to be looking at taking over Swiss rival Clariant. Such a deal could result in a speciality chemicals company with market capitalization of > €20 bn. An offer could be up to SFR 23/share, valuing Clariant at SFR 7.3 bn (c €7.0 bn). Evonik is worth €15 bn. Original Source: Chemie Aktuell, 26 Mar 2015, (Website: http://www.maerkte-weltweit.de) (in German) © MBM Martin Brueckner Medien GmbH 2015

Successful start-up of Perstorp’s new major oxo investment in Sweden Production of valeraldehyde and 2-propylheptanol (key raw materials for the company's PVC plasticizers) and associated chemicals has begun on time at a major extension to Perstorp's main plant in Stenungsund, Sweden, with prime material being produced soon after start-up. With the conclusion of its largest plant investment to date, Perstorp has boosted its total oxo capacity by 150,000 tonnes/y and

become one of the few fully integrated suppliers of plasticizers. In addition to its internal use, the company will offer the market the C10 alcohol 2-PH as a raw material for surfactants, adhesives and lubricants, as well as for plasticizers. With the new oxo plant, Perstorp will additionally offer n-valeric acid for lubricant and pharmaceutical applications. Original Source: Perstorp, 5 Mar 2015 (Website: http://www.perstorp.com) © Perstorp AB 2015

Azelis changes hands Private equity firm Apax Partners is set to acquire Belgium-based chemical distributor Azelis from 3i. An agreement has been signed by Azelis' owner, Atlas Holding, following a favourable opinion from the workers' council regarding the acquisition, which is scheduled to close by 2Q 2015. Financial details of the transaction were undisclosed. Azelis, the third biggest pan-European chemicals distributor, supplies to a wide range of sectors including coatings, rubber and plastic additives, health, pharmaceutical and hygiene. At the end of 2014, Azelis announced the opening of a joint office with Ingredion in Chengdu, China and new laboratories in Hertford, UK ['Focus on Surfactants', Feb 2015]. Original Source: ICIS Chemical Business, 2-8 Mar 2015, 287 (9), 6 (Website: http://www. icis.com) © Reed Business Information Limited 2015. Original Source: Chimie Pharma Hebdo, 9 Mar 2015, (709), (Website: http://www.industrie.com/chimie) (in French) © ETAI Information 2015

Unilever buys UK cosmetics company REN Unilever is taking over US cosmetics company REN for an unnamed sum. The deal will be completed in May 2015, provided the regulators approve. Unilever is increasingly shifting its portfolio towards toiletries. Food accounted for 35% of sales in 2008; it now accounts for less than 25%. Original Source: Chemie Aktuell, 2 Mar 2015, (Website: http://www.maerkte-weltweit.de) (in German) © MBM Martin Brueckner Medien GmbH 2015

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