M&As: Kodiak expands footprint in specialty chemicals; Elkem exits battery materials company Vianode

Supplier of chemicals for the steel, automotive, energy, and aerospace industries Kodiak has strengthened its position in process fluids through the acquisition of Aztech Lubricants, expanding its product portfolio to powdered chemicals. Terms were not disclosed.

Kodiak says its acquisition of Aztech Lubricants solidifies its position in the specialty chemical space. Kodiak has ramped up its manufacturing and distribution capabilities to supply a growing customer base in niche markets around the world. The product portfolio of fire-resistant hydraulic fluids, rolling oils, metalworking fluids, corrosion inhibitors, and polymeric resins will now include powder-based chemicals for a variety of industrial applications including wire drawing.

With its recent acquisition of Cincinnati-based Coolant Control Inc. and Vulcan Oil in the first quarter 2023, and the acquisition of Aztech Lubricants this quarter, Kodiak has an expansive portfolio in the global chemical industry.

Based in Oklahoma, Aztech Lubricants provides solutions for the wire drawing industry – serving the aerospace, agricultural, tyre manufacturing, fasteners, screens, and fencing market segments.

"By acquiring Aztech Lubricants we are continuing to execute our growth strategy – increasing our geographical footprint and manufacturing capabilities, while optimizing delivery timelines," states Laura Dickey, President of Kodiak. "As we continue growing our portfolio of products organically and through acquisitions, our customers around the globe have demonstrated their receptiveness to our capabilities – helping them streamline procurement through consolidation of suppliers."

Through the acquisition of Aztech Lubricants, Kodiak says it continues its growth trajectory providing an alternative to traditional suppliers in the specialty process fluid category.

Meanwhile in other news, Norwegian silicon-based materials provider Elkem, in line with its cost reduction programme, has decided to exit its financial investment in the advanced battery materials company Vianode.

This is in line with the previously announced comprehensive programme for earnings improvements and capex reductions in Elkem, and a focus on Elkem’s core business.

Going forward, Vianode will continue to be backed by global aluminium and renewable energy company Hydro and Altor Fund V, a fund managed by Altor Fund Manager.

Through the highly skilled employees who have joined Vianode from Elkem since its founding in 2021, Vianode will continue to benefit from world-class competence in advanced battery materials, says the statement.

The parties have agreed that the terms of this transaction shall not be disclosed.

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