BASF Report 2021 Management’s Report – Material Investments and Portfolio Measures 41 Acquisitions On June 30, 2021, we closed the divestiture of our global pigments BASF’s Performance Chemicals division and has approximately business to the Japanese fine chemical company DIC, Tokyo, 440 employees in North America, Europe and Asia. The divestiture On August 31, 2021, BASF and Shanshan announced the formation Japan. The business transfer agreement, which affected around comprises the production hub with sites in Daveyville, Toddville, of BASF Shanshan Battery Materials Co., Ltd. The newly formed 2,500 employees, was signed on August 29, 2019. The purchase Edgar, Gordon and related mines, reserves and mills in Toomsboro entity is majority-owned by BASF (BASF 51%; Shanshan 49%). price on a cash and debt-free basis was €1.15 billion. The Disper- and Sandersville in Georgia. The refinery catalysts operations located It has four sites in Hunan and Ningxia, China, with more than sions & Pigments division was renamed Dispersions & Resins at the same site are not part of the divestiture. Pending approval by 1,600 employees. BASF Shanshan Battery Materials Co., Ltd. will following the transaction closing. the relevant authorities, closing of the transaction is expected in the focus primarily on the rapidly growing electric vehicle (EV) market For more information on this divestiture, see Note 3 to the Consolidated Financial Statements from second half of 2022. while serving global consumer electronic and energy storage market page 209 onward segments. The business is a part of the Catalysts division. On December 6, 2021, BASF and Allianz Capital Partners, on behalf For more information on this acquisition, see Note 3 to the Consolidated Financial Statements from On November 9, 2021, BASF and Clayton, Dubilier & Rice sold their of Allianz Insurance Companies (Allianz), announced that they had page 207 onward shares in Solenis to Platinum Equity, a private equity company reached an agreement on the purchase of 25.2% of the Hollandse based in Beverly Hills, California. With over 5,200 employees, Kust Zuid (HKZ) wind farm by Allianz. This follows a transaction Following approval of the relevant authorities, we completed the Solenis serves customers in water-intensive industries by helping between Vattenfall and BASF under which BASF acquired 49.5% of purchase of 49.5% of Vattenfall’s Hollandse Kust Zuid wind farm on them solve complex water treatment and process improvement HKZ from Vattenfall on September 1, 2021. BASF will continue to 1 September 1, 2021. The purchase price was €0.3 billion. Wind challenges. BASF held a 49% share in Solenis after transferring its receive most of the power produced by its originally acquired share farm construction began in July 2021. Once fully operational in paper and water chemicals business to the company in February of 49.5% of HKZ under a long-term fixed-price corporate power 2023, the wind farm will be the largest commercial offshore wind 2019. This was reported as a non-integral investment accounted purchasing agreement. The transaction is expected to close in the farm in the world. This wind farm does not receive any subsidies for for using the equity method. The remaining 51% of the shares first quarter of 2022, subject to the approval of the relevant merger the power produced. On December 6, 2021, BASF and Allianz were held by funds managed by Clayton, Dubilier & Rice, and by control authorities. Capital Partners announced that they had reached an agreement Solenis management. The purchase price attributable to BASF was on the purchase of a 25.2% interest by Allianz Capital Partners €1.1 billion. On December 28, 2021, BASF reached an agreement to divest its (see “Agreed transactions”). production site in Quincy, Florida, and the associated attapulgite On November 30, 2021, we completed the sale of the precision business to Clariant for a purchase price of $60 million. The Quincy microchemicals business to Entegris. The transaction included fixed facility employs around 75 employees and manufactures clay- based Divestitures assets and inventories. The purchase price amounted to $90 million. mineral products used in a variety of industrial applications. The The precision microchemicals business was part of the Surface transaction affects the Dispersions & Resins division and is expected On May 31, 2021, BASF completed the sale of its production site in Treatment business unit of BASF’s Coatings division, operating to close in the summer of 2022, subject to the approval of the Kankakee, Illinois, to a subsidiary of One Rock Capital Partners, LLC. under the Chemetall brand. relevant antitrust authorities. The agreement also includes the vegetable-oil-based sterols and natural vitamin E business as well as the anionic surfactants and esters produced at the Kankakee site. The purchase price was Agreed transactions €177 million. The transaction affected the Nutrition & Health and Care Chemicals divisions. On November 18, 2021, BASF and KaMin LLC. / CADAM S.A. (KaMin) signed an agreement to sell BASF’s kaolin minerals business to KaMin, a global performance minerals company headquartered in Macon, Georgia. Currently, the kaolin minerals business is part of 1 The transaction is not reported as an acquisition in the Notes to the Consolidated Financial Statements as according to IFRS 3.2b, it does not fall within the scope of IFRS 3.