Quaker Houghton has entered into a purchase agreement to acquire Dipsol Chemicals Co., a surface treatment and plating chemistry supplier.
Joseph BerquistThe purchase price is $153 million, which the Conshohocken, Pennsylvania-based Quaker Houghton says is subject to post-closing adjustments. Dipsol is headquartered in Japan and operates globally, with revenues of approximately $82 million over the 12-month period ending December 31. Quaker Houghton says the purchase price represents a multiple of approximately 10.5x Dipsol's trailing 12-month estimated adjusted EBITDA of approximately $15 million.
“The acquisition of Dipsol demonstrates our ability to use our strong financial position to make strategic investments that will accelerate growth and create shareholder value,” says Joseph Berquist, Quaker Houghton’s Chief Executive Officer and President. “Dipsol provides Quaker Houghton with leading product technologies that complement our technical service model and add capabilities and breadth to our differentiated portfolio of advanced solutions.”
Dipsol was established in 1953. The company has a portfolio of products and services and a leading position in the Japanese market for plating chemicals. Dipsol has approximately 450 employees worldwide and a global presence with production and R&D facilities in Asia, North America, and Europe.
“Dipsol is a market leader, highly innovative, and has an established market position and strong customer focus, especially in the Asia-Pacific region,” Berquist says. “The acquisition will help expand our advanced solutions businesses in attractive end markets with solid growth characteristics and high barriers to entry. Dipsol provides significant cross-selling capabilities and enhances our ability to meet and exceed the needs of our customers across the globe.”
The transaction is expected to close in the second quarter of 2025 and is subject to applicable regulatory approvals and certain other customary conditions. Quaker Houghton expects to fund the purchase price for this acquisition with borrowings under its existing credit facility.
Quaker Houghton supplies industrial process fluids in over 25 countries, and their customers include specialized steel, aluminum, automotive, aerospace, offshore, container, mining, and metalworking companies. They have approximately 4,400 employees and are headquartered in Conshohocken, Pennsylvania, near Philadelphia.
Visit www.quakerhoughton.com.
