French investment company Eurazeo has announced its intention to sell its majority stake in Spanish fragrance producer Iberchem to UK-based chemicals group Croda. The deal, worth a total of €820 million ($971.3 million), is expected to be finalized by the end of 2020. Eurazeo initially acquired its 54.9% stake in Iberchem in July 2017 and has since witnessed the company achieve an impressive annual organic growth rate of 15%. Last year, Iberchem reported a turnover of €174 million.

Eurazeo has commended Iberchem’s strategic positioning and its success in targeting external growth opportunities, particularly in China and Malaysia. With this sale, Eurazeo aims to generate proceeds of €384 million, while its partners will receive €181 million. Eurazeo Capital follows an investment strategy that involves carefully selecting and supporting businesses with significant potential, and then finding strategic buyers to drive the future success of these companies. The investment firm currently manages a diverse portfolio of 430 businesses with a total worth of €18.8 billion.

In light of the COVID-19 pandemic’s impact on the travel and leisure sectors, Eurazeo has announced plans to expedite its asset disposal program in 2021 and 2022. This move reflects the ongoing challenges faced by these industries and demonstrates Eurazeo’s proactive approach to adapting its investment strategy in response to market conditions.

The news of the sale of Eurazeo’s stake in Iberchem to Croda showcases the ongoing dynamics within the global fragrance industry and the continued interest of strategic buyers in acquiring strong companies with robust growth potential. This transaction not only highlights Iberchem’s achievements but also sheds light on the attractiveness of the fragrance sector as a whole.

Useful links related to the article:

– [Eurazeo](https://www.eurazeo.com/) – Official website of Eurazeo.
– [Croda](https://www.croda.com/) – Official website of Croda, the UK-based chemicals group acquiring Iberchem.