Filing Flows › Quaker Chemical (KWR) › Takeover & LBO
Is Quaker Chemical (KWR) a takeover target?
A leveraged buyout at today's price plus 30% ($196.23 a share) would return about 3% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $107.97 a share (−28% against today's $150.95). Historically 7.0% of companies with its figures were bought within a year (1.38× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $196.23 | today's $150.95 plus 30% |
| × shares | 17.3 million | |
| = Equity value | $3.4B | |
| + Debt refinanced | $890M | |
| − Cash | $167M | |
| + Other claims | $3.4M | preferred stock, minority interests |
| = Enterprise value | $4.1B | 18.4× EBITDA of $224M |
| Fees | $82.6M | 2% of the price |
| New debt | $1.2B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $3.0B | 71% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $2.2B | $242M | $94.4M | $51.9M | $1.2B |
| Year 2 | $2.3B | $259M | $90.4M | $65.3M | $1.1B |
| Year 3 | $2.5B | $273M | $85.4M | $78.7M | $1.0B |
| Year 4 | $2.6B | $285M | $79.4M | $91.9M | $946M |
| Year 5 | $2.6B | $293M | $72.4M | $104M | $842M |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 14.9× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $4.4B | |
| − Debt left | $842M | |
| = Buyer's equity | $3.5B | |
| Money multiple | 1.18× | on $3.0B put in |
| Buyer's yearly return (IRR) | 3.4% |
Price against return
What the buyer makes at other premiums over today's $150.95; the IRR reaches 20% at $107.97 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $166.04 | 7.6% |
| 20% | $181.14 | 5.4% |
| 30% | $196.23 | 3.4% |
| 40% | $211.33 | 1.7% |
| 50% | $226.42 | 0.1% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $2.0B | |
| EBITDA, last 12 months | $224M | 11.1% of revenue |
| Depreciation and amortization | $70.1M | |
| Capital spending | $54.7M | |
| Debt | $890M | |
| Cash | $167M | |
| Share price | $150.95 | on Oct 30, 2026 |
Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 8.0% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 29% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.
What a takeover could cost
Takeovers on record paid a median premium of 32.5% over the share price before the deal (the middle half 20% to 51.8%), according to the 1,437 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Quaker Chemical would cost about $200.01 a share, $3.5B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 20% | $181.14 | $3.1B |
| Median | 32.5% | $200.01 | $3.5B |
| High end (a quarter paid more) | 51.8% | $229.14 | $4.0B |
The odds, from history
Historically 7.0% of companies with its figures were bought within a year (1.38× the average). Its figures put it in decile 9 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.
Quaker Chemical's latest quarter
Quaker Chemical, Q3 2026: revenue $545M (+10% year over year), operating margin 9.0%, net earnings $30.0M, operating cash flow $14.3M. The chart follows the revenue to costs, profit and cash.
Questions
Is Quaker Chemical being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Quaker Chemical?
A leveraged buyout at today's price plus 30% ($196.23 a share) would return about 3% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $107.97 a share (−28% against today's $150.95).
What would a takeover of Quaker Chemical cost?
Takeovers on record paid a median premium of 32.5% over the share price before the deal (the middle half 20% to 51.8%), according to the 1,437 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Quaker Chemical would cost about $200.01 a share, $3.5B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.