Houston-based Kraton Performance Polymers Inc., which had announced its plans to acquire Arizona Chemical Company in September, said this week it has purchased all of the outstanding shares of capital stock of Arizona Chemical Holdings Corporation.

The $1.37 billion cash purchase price is subject to customary adjustments for cash, indebtedness, working capital and other items. Financing, which proved consistent with previous statements made in September, was achieved via a $440 million private offering; a $1.35 billion six-year senior secured first lien term loan; and a new $250 million five-year asset-based revolving credit line.

"Today … we create a global leader in specialty materials technology, manufacturing and geographical presence … (to) serve as a strong foundation for future growth,"  Kraton President and CEO Kevin Fogarty said.

Kraton Performance Polymers, through Kraton Polymers LLC and its subsidiaries, is a global producer of engineered polymers and one of the world's largest producers of SBCs, a family of products pioneered by Kraton over 50 years ago.

The company’s polymers are used in a widely diverse array of applications, such as adhesives, coatings, consumer and personal care products, sealants and lubricants and medical, packaging, automotive, paving, roofing and footwear products. Kraton supplies over 800 customers in more than 60 countries.

Arizona Chemical, founded in Arizona and now based in Jacksonville, Florida, produces and refines pine-based chemicals for bio-renewable solutions. Its products are used in thousands of products including fragrances, plastics, cleansers, coatings, tapes, labels, tires, lubricants and road construction materials.