Diversey (NASDAQ:DSEY) shares are trading higher on Wednesday after the company announced it will be acquired by Solenis for $4.6 billion in an all-cash transaction.

Solenis, a global producer of specialty chemicals, and Bain Capital, a private investment firm, will acquire Diversey for $8.40 per share in cash. The transaction represents a premium of approximately 41.0% over Diversey's closing share price on March 7, 2023, and a premium of approximately 59.0% over Diversey's 90-day volume-weighted average price.

Under the terms of the agreement, Bain Capital will receive $7.84 per share in cash and will rollover a portion of its shares of Diversey into an affiliate of Solenis in exchange for common and preferred units of such affiliate. The transaction is expected to close in the second half of 2023, subject to customary closing conditions and regulatory approvals.

"The merger presents a unique opportunity to enhance value and create a more diversified business with increased scale, broader global reach, and superior customer service capabilities. It will enable the combined company to grow and provide a number of attractive cross-selling opportunities, including meeting increasing customer demand for water management, cleaning and hygiene solutions," said Phil Wieland, Chief Executive Officer of Diversey.

Diversey's purpose is to go beyond clean to take care of what's precious through leading hygiene, infection prevention and cleaning solutions.

DSEY Price Action: Diversey has a 52-week high of $10.68 and a 52-week low of $3.95.

Diversey shares are up 37.3% at $8.17 at the time of writing, according to Benzinga Pro.