Energy Voice | Aberdeen Cabot jobs ‘safe for now’ amid Chinese takeover

Jobs at the Aberdeen’s Cabot Specialty Fluids are “safe” until the sale to a Chinese firm is complete, according to a spokeswoman.

Employees of the Tullos-based company were made aware of parent firm Cabot Corporations intention to sell its specialty fluids business to China’s Sinomine Rare Metals Resources today.

But staff – thought to be around 22 – were left in the dark as to their future at the firm.

A spokeswoman for Cabot Corp. has revealed tonight that the almost £103 million sale of Cabot Specialty Fluids will see staff “remain Cabot employees” until the transaction is complete in Q3 2019.

She said: “Though we have announced a definitive agreement, the Specialty Fluids business is still a part of Cabot and the team will remain Cabot employees until the transaction closes, which we expect to be in Q3 of fiscal year 2019.”

Hong Kong firm Sinomine Rare Metals Resources is a subsidiary firm of Beijing-headquartered Sinomine Resource Group.

Sinomine’s core business is in geological exploration, mining investment and base metal chemical manufacturing.

The parent firm owns around 20 subsidiaries worldwide.

Boston-headquartered Cabot Corp. announced today it had sold the business for £99m to be paid at the closing of the transaction, with £3.8m cash royalties to be paid for”lithium products, payable over a ten-year period”.

Sean Keohane, Cabot president and chief executive officer, said: “We are pleased to have reached a deal with the right strategic buyer to help the Cabot Specialty Fluids segment reach its fullest potential.

“As we continue to execute our ‘Advancing the Core’ strategy, this transaction allows us to maximize the value of the business for our shareholders and focus our resources on advantaged growth initiatives in our core businesses.

“We view the Specialty Fluids segment as having the best growth potential under the ownership of a strategic partner focused on both mineral mining and downstream chemical manufacture.

“The Specialty Fluids segment will benefit from being part of a leading mineral industry player that will invest in its long-term growth.”

Source link