German industrial firm Evonik Industries AG has acquired Silbond Corp, a leading supplier of silicic acid esters based in Michigan, US. The mid-double digit million-euro transaction closed on February 28, 2014.

As a special group of functional silanes, silicic acid esters are used in a wide variety of applications with a promising future—for example in the electronics industry or in chemical applications such as coatings. Silbond produces Tetraethoxysilane (TEOS) an important type of silicic acid esters.

Evonik sees that the acquisition of Silbond will expand its opportunities across the North American region, as the supply of TEOS will emanate from a local production capacity.

Evonik already produces functional silanes at its sites in Rheinfelden (Germany), Antwerp (Belgium), Rizhao (China) and Mobile (USA). With the Weston site, the Group is now extending its production network with efficient technology for silicic acid esters, primarily for the attractive North American region.

The overall market for functional silanes, which includes silicic acid esters, is growing faster worldwide than the global gross domestic product. The growth is driven by the increasing demand for new applications such as high-performance insulation materials. Another growth driver is the increasing demand from emerging countries.

The silanes portfolio of Evonik comprises chlorosilanes as well as organofunctional silanes. It has an annual overall capacity for silanes of about 300,000 metric tonnes, which are sold to the automobile, construction, plastics and electronics industries. The silanes are used in adhesives, sealants, paints and coatings, architectural protection, optical fibres and semiconductors, as well as in tyres and rubber.