AdvanSix acquired U.S. Amines Limited for approximately $97.5 million, net of cash acquired (announced as an all-cash transaction with an estimated net purchase price of approximately $100 million), a transaction announced in February 2022, structured as all cash.
U.S. Amines Limited operates in Chemical Intermediates (alkyl and specialty amines), is based in United States — manufacturing facilities in Bucks, Alabama and Portsmouth, Virginia, had revenue of about approximately $70 million (estimated 2022 revenue). AdvanSix acquired U.S. Amines Limited, a North American producer of alkyl and specialty (allyl) amines used in agrochemicals, pharmaceuticals and other high-value end markets. AdvanSix announced the agreement on February 18, 2022 alongside its fourth-quarter and full-year 2021 results, describing an all-cash transaction with an estimated net purchase price of approximately $100 million; the acquisition closed in February 2022, and AdvanSix's Form 10-K reports a purchase price of approximately $97.5 million, net of cash acquired. U.S. Amines employed roughly 50 people at manufacturing facilities in Bucks, Alabama and Portsmouth, Virginia, with estimated 2022 revenue of about $70 million. It was AdvanSix's second acquisition and its largest to date.
Advances AdvanSix's M&A framework through value-chain integration (internal supply of products and raw materials), a platform for broader expansion into the agrochemicals space and other high-value applications, added regional scale, and a bolt-on with a strong cash-flow and margin profile that is accretive to the company's Intermediates portfolio.
A unique platform in the agrochemicals space with complementary, cohesive fit to AdvanSix's existing portfolio and opportunities for sales synergies and incremental growth through higher asset utilization, new markets and organic investment. Expected sales synergies and incremental value from AdvanSix's manufacturing strengths; expected to be accretive to 2022 earnings with minimal impact to debt leverage. AdvanSix Chemical Intermediates portfolio AdvanSix recorded finite-lived intangible assets of approximately $34 million (customer relationships of approximately $33 million and trademarks of approximately $1 million), amortized over estimated useful lives of 20 and 5 years respectively, with the residual purchase price allocated to goodwill.
U.S. Amines is a complementary and cohesive fit with our existing portfolio and supports further penetration in high-value end markets and applications. We will leverage our core strengths across its unique manufacturing capabilities to enable sales synergies and unlock incremental value. We see robust opportunities for incremental growth through increased utilization of assets, new market opportunities and high-return organic investments.Erin Kane, President and CEO, AdvanSix
Advisory firms were not disclosed for this transaction.