German chemical group BASF has reportedly increased its proposed takeover price for Evonik Industries to €24 per share, valuing the specialty chemicals producer at approximately €11.18 billion. Reuters reported the revised terms on October 23, citing two people close to the discussions. The proposal follows Evonik's rejection in September of an earlier approach worth around €10.3 billion, or €22.15 per share.
The revised price represents an increase of approximately 8.4%, adding around €880 million to Evonik's potential equity valuation. Bloomberg News first reported that BASF had raised its proposal above €11 billion before Reuters obtained the €24-per-share figure from sources. Evonik shares rose 2.7% to close at €21.26 on October 23, while BASF shares gained 0.15%.
The reported increase came one day after BASF CEO Markus Kamieth publicly addressed Evonik employees and communities in Germany's Ruhr region. Kamieth said BASF would honor existing site agreements and maintain employment protections until 2032 if a takeover were completed. He also pledged to preserve collective bargaining arrangements, retain important management functions in Essen and North Rhine-Westphalia, and consider continued operation of Evonik's Marl and Wesseling chemical parks.
Evonik has also reportedly been examining a possible acquisition of U.S. specialty chemicals producer Ashland. Reuters said Evonik's interest in Ashland predated BASF's takeover approach. No acquisition agreement between Evonik and Ashland has been announced.
Evonik and its largest shareholder, RAG-Stiftung, declined to comment on the revised proposal. BASF has not confirmed the €24-per-share terms through a formal takeover document. Neither company has announced a definitive acquisition agreement, and Evonik has not publicly decided whether to proceed with negotiations based on the new valuation.
