Showa Denko K.K. (SDK; Tokyo, Japan; www.sdk.co.jp) agreed with SGL Carbon SE, a carbon and graphite product manufacturer headquartered in Wiesbaden, Germany, that SDK will acquire SGL GE Holding GmbH, which engages in the graphite electrode business, from SGL Carbon group for an enterprise value of EUR350 million.
Through this acquisition, SDK aims to become a truly global leader in graphite electrode industry by establishinga cost competitive platform the all three key regions of Europe, the U.S. and Asia. A sale and purchase agreement was approved both by SDK’s board of directors and by SGL’s supervisory board. Subject to the approval of the relevant authorities under the applicable competition laws of the relevant countries including the U.S. and Germany, and other preconditions, parties expect to close the transaction in early to mid-2017.