NewMarket to acquire AMPAC Intermediate Holdings for about $700M

NewMarket announced its entry into a definitive purchase agreement to acquire AMPAC Intermediate Holdings, the ultimate parent company of American Pacific Corporation, for approximately $700M. Based in Cedar City, Utah, AMPAC is a North American manufacturer of critical performance additives used in solid rocket motors for space launch and military defense applications. AMPAC is qualified on many NASA and Department of Defense programs, and has been serving space launch and national defense programs for more than 60 years. AMPAC also manufactures Halotron BrX, a clean and environmentally friendly fire extinguishing agent that replaces legacy high ozone-depleting fire extinguishing agents. Founded in 1955, AMPAC has one operating facility and approximately 150 full-time employees. The transaction is expected to close during the first quarter of 2024. The closing is conditioned upon the satisfaction or waiver of customary closing conditions, including clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. NewMarket expects to finance the acquisition with available cash and borrowings under its revolving credit facility.