Press Release
LANXESS completes acquisition of Emerald Kalama Chemical –Portfolio for industrial applications expanded
- Acquisition strengthens business in specialty chemicals for industrial applications
- Portfolio for the plastics, paint and varnish and adhesives industries significantly expanded
Specialty chemicals company LANXESS completed the acquisition of Emerald Kalama Chemical on August 3. The U.S.-based company is a world-leading manufacturer of
specialty chemicals. LANXESS signed a purchase agreement on February 14, 2021. All required regulatory approvals have been received. LANXESS financed the purchase price of around USD 1.04 billion (EUR 870 million) from liquid funds.
In 2020, Emerald Kalama Chemical generated global sales of around USD 425 million (EUR 375 million) and EBITDA pre-exceptionals of around USD 90 million (EUR 80 million). Seventy-five per cent of sales were attributable to business with specialty products for the consumer care market, especially products for flavours and fragrances, as well as preservatives for use in food, household products and cosmetics. One-quarter of sales originated from business with specialty chemicals for industrial applications. With the closing of the transaction, LANXESS grows by around 470 employees and the three production sites in Kalama/Washington (USA), Rotterdam (Netherlands) and Widnes (Great Britain). Acquisition strengthens portfolio for the plastics, paints and coatings as well as adhesives industries The second-biggest acquisition in LANXESS’s history sees the company expanding its range of specialty chemicals for industrial applications, especially for the plastics, paints and coatings as well as adhesives industries.
One important addition to the new LANXESS portfolio is the K-Flex range of non-phthalate plasticizers and coalescents for adhesives, coatings, sealants and vinyl applications. K-Flex plasticizers optimize production processes and end-product properties. They are highly compatible with polar polymers in water-based adhesive systems and improve film formation in paints and coatings. During the manufacture of PVC articles, the rapid-gelling dibenzoates can help to speed up processing.
