Core Viewpoint - Technip Energies has entered into a definitive agreement to acquire the Advanced Materials & Catalysts business from Ecovyst Inc. for US$556 million, enhancing its capabilities in advanced catalysts and process technologies [1][2][4]. Group 1: Acquisition Details - The acquisition price of US$556 million represents an EBITDA multiple of approximately 9.8 [1]. - Advanced Materials & Catalysts generated total revenue of US$223 million with an EBITDA margin of around 25% for 2024 [3][5]. - The transaction is expected to close by the first quarter of 2026, pending regulatory approvals [4]. Group 2: Strategic Benefits - This acquisition supports Technip Energies' strategy for disciplined growth in its Technology, Products & Services (TPS) segment, increasing TPS' contribution to Segment EBITDA from 39% to approximately 45% on a pro-forma basis for 2024 [2][4]. - The integration of Advanced Materials & Catalysts is anticipated to provide increased recurring revenues tied to customer operating expenditures and improved long-term revenue visibility [2][6]. - The acquisition is expected to be immediately accretive to earnings and cash flow, enhancing Technip Energies' financial profile [6][8]. Group 3: Technological and Market Expansion - The Advanced Materials & Catalysts business will enhance Technip Energies' development of integrated technology and catalyst solutions, particularly in areas such as circular chemistry, carbon capture, and sustainable fuels [4][8]. - The acquisition will establish a scalable catalysts platform built on high-value silicas and zeolites, supporting Technip Energies' process technologies [8]. - It will also enhance R&D capabilities, bringing world-leading expertise in catalyst design and materials science [8]. Group 4: Leadership Comments - Arnaud Pieton, CEO of Technip Energies, emphasized that the acquisition aligns with their disciplined capital allocation strategy and strengthens their technology platform [4]. - Kurt Bitting, CEO of Ecovyst, expressed confidence that Technip Energies is the ideal long-term partner for Advanced Materials & Catalysts [4]. - Paul Whittleston, President of Advanced Materials & Catalysts, highlighted the exciting opportunities for scaling technologies and accelerating innovation as part of Technip Energies [4].