Innospec Withdraws Proposal to Acquire TPC Group and Announces Special
Dividend of $2 Per Share
LITTLETON, Colo., Dec. 3, 2012 (GLOBE NEWSWIRE) -- Innospec Inc. (Nasdaq:IOSP)
has today announced that its Board of Directors has informed the Board of
Directors of TPC Group (TPCG) that Innospec has withdrawn its proposal to
acquire the company.
Patrick Williams, President and CEO said, "We have spent a great deal of time
and effort studying the TPC business, and, while we still feel that it is a
good fit with Innospec, we are unable to conclude a deal structure in a manner
where we are totally satisfied with the value creation for our shareholders.
As a result, we have reluctantly decided that it would be in our investors'
best interests to withdraw our proposal. Our acquisition strategy has always
been focused on delivering shareholder value, and we continue to pursue other
opportunities which we hope will come to fruition in the coming months."
At the same time, the Board has also declared a special dividend of $2 per
share on each outstanding share of common stock of Innospec Inc. The special
dividend will be paid on December 21, 2012, to shareholders of record at the
close of business on December 14, 2012.
Patrick Williams, continued, "Innospec is a very healthy business, generating
strong cash flows. We have consistently stated that our strategy is to pursue
growth both organically and through acquisitions and this strategy remains
unchanged. And, while the termination of our preliminary proposal to acquire
TPC is unfortunate, our Board has decided to deliver on our commitment to
return cash to shareholders in the form of a special dividend. Our decision to
declare this dividend as a one-time exceptional dividend reflects our desire
to continue to be positioned for acquisitions which will add shareholder value
while our Board considers its option to institute regular annual dividend
and/or stock repurchases in the future."
About Innospec Inc.
Innospec Inc. is an international specialty chemicals company with
approximately 850 employees in 20 countries. Innospec manufactures and
supplies a wide range of specialty chemicals to markets in the Americas,
Europe, the Middle East, Africa and Asia-Pacific.Innospec's Fuel Specialties
business specializes in manufacturing and supplying the fuel additives that
help improve fuel efficiency, boost engine performance and reduce harmful
emissions. Innospec's Performance Chemicals business provides effective
technology-based solutions for our customers' processes or products focused in
the Personal Care; Household, Industrial & Institutional; and Fragrance
Ingredients markets. Innospec's Octane Additives business is the world's only
producer of tetra ethyl lead.
This press release contains certain "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. All
statements other than statements of historical facts included or incorporated
herein may constitute forward-looking statements. Such forward-looking
statements include statements (covered by words like "expects," "anticipates,"
"may," "believes" or similar words or expressions), for example, which relate
to operating performance, events or developments that we expect or anticipate
will or may occur in the future (including, without limitation, any of the
Company's guidance in respect of sales, gross margins, pension liabilities and
charges, net income, growth potential and other measures of financial
performance). Although forward-looking statements are believed by management
to be reasonable when made, they are subject to certain risks, uncertainties
and assumptions, and our actual performance or results may differ materially
from these forward-looking statements. Additional information regarding
risks, uncertainties and assumptions relating to the Company and affecting our
business operations and prospects are described in the Company's Annual Report
on Form 10-K for the year ended December 31, 2011, and other reports filed
with the U.S. Securities and Exchange Commission. You are urged to review our
discussion of risks and uncertainties that could cause actual results to
differ from forward-looking statements under the heading "Risk Factors." The
Company undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by law.
For more information about Innospec, please visit our website at
CONTACT: Brian Watt
Robert D. Ferris
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