M&As: Chroma acquires NIR dye maker; Lanxess completes US$1 bn acquisition of Emerald Kalama Chemical

UV, visible and infrared spectra dye maker Epolin, which is a division of masterbatch supplier Chroma Color Corporation, has acquired Adam Gates & Company, a manufacturer of near-infrared (NIR) and laser absorbing dyes that provide optimal absorbance and transmission properties. Terms were not disclosed.

“Customers of Adam Gates will benefit from an expanded product portfolio, additional supply forms, and Epolin’s technical expertise,” stated Michael Crosby, President of Epolin. “The acquisition supports Epolin’s global growth in evolving applications while diversifying our synthesis capabilities.”

Chroma Color Corporation CEO Shruti Singhal states, “This acquisition is additive to Epolin’s strong organic growth as a market leader in their segment. As they continue to operate as an independent subsidiary of Chroma Color Corporation, this action aligns with Chroma Color Corporation’s strategy to grow and scale through acquisition.”

Genesis Capital, LLC served as Epolin’s financial advisor during the acquisition process.

Epolin’s ability to deploy innovative dye absorbers into custom light filters has established it as the concierge of light management solutions, it adds. Epolin provides ready to mould compounded pellet in a range of thermoplastic and thermoset polymeric materials including polycarbonate, acrylic, polyamide, cellulose propionate, polystyrene, PCV, COC and polyurethane for use in injection moulding, film extrusion, liquid casting, laminating, pressure sensitive adhesives and solvent borne coating applications.

In other news, German specialty chemicals company Lanxess says it has completed the acquisition of US-based speciality chemical firm Emerald Kalama Chemical. Lanxess financed the purchase price of around US$1.04billion from liquid funds.

In 2020, Emerald Kalama Chemical generated global sales of around US$425 million and EBITDA pre-exceptionals of around US$90 million. Around 75% 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 (US), Rotterdam (Netherlands) and Widnes (Great Britain).

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 plasticisers and coalescents for adhesives, coatings, sealants and vinyl applications. K-Flex plasticisers optimise 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.

“The new products broaden the existing Lanxess range and offers growth opportunities in the area of non-phthalate plasticizers which meet the most modern requirements of the plastics processing industry,” underlines Dr. Thomas Facklam, Head of Global Application Technology in the Polymer Additives business unit.

Other important additions to the overall portfolio for industrial applications include Kalama Vitroflex plasticizers for the manufacture of polysulphide sealants and Modulast modifiers, which were developed for use in reactive polyurethane systems.

Last but not least, benzoic acid, benzaldehyde and benzoate salts supplements the Lanxess offer in future. These are used as intermediates, building blocks and additives in a number of industrial applications, e.g. for the production of esters, alkyd resins or corrosion inhibitors.

(PRA)

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