Rockwood Holdings, Inc. Completes Acquisition of Sud-Chemie's Rheological Additives And Carbonless Developers Businesses
Princeton, NJ - Rockwood Holdings, Inc. has completed the acquisition of the rheological additives and carbonless developers businesses of Sud-Chemie AG, Munich, Germany, following approval by European Union antitrust authorities. With this acquisition, Rockwood's Clay Additives business unit is now positioned as one of the world's premier suppliers of organoclay rheological additives.
Seifi Ghasemi, Rockwood's Chairman and Chief Executive Officer, said, "The Sud-Chemie businesses enhance our performance additives capabilities, providing us with additional resources to serve our customers throughout the world with a comprehensive range of products, technologies and services."
The Sud-Chemie rheological additives business produces materials used in the coatings, ink and personal care industries to improve the flow properties of finished products. Rockwood has acquired the technology of Sud-Chemie's Tixogel organoclays, Optiflo associative thickeners and Optigel activated clays, as well as production facilities in Moosburg, Bavaria, Germany and Louisville, Kentucky. Rockwood also has purchased Sud-Chemie's Copisil clay product line, which is used in the manufacture of carbonless paper. Rockwood plans to transfer production for the Copisil line to its manufacturing facility in Widnes, United Kingdom (U.K.). Vernon Sumner, president of Rockwood's Clay Additives business, will manage the newly acquired businesses.
"We are pleased to welcome a very talented group of 125 employees to our worldwide performance additives organization," said Sumner. "Our combined resources will enable us to provide customers in many of our markets with a stronger product offering, particularly in water-based coatings."
The terms of the acquisition were not disclosed. Sales generated by the Sud-Chemie businesses are approximately $50 million on an annual basis. The purchase price was financed by cash flow from operations.
The Sud-Chemie businesses will be incorporated into Rockwood's Clay Additives business unit, which is part of its Performance Additives segment and includes Southern Clay Products, Inc., Gonzales, Texas and Rockwood Additives Limited, Widnes, U.K.
SOURCE: Rockwood Holdings, Inc.