- Email: [email protected]
ICL-IP closes HBCD flame retardant production line
STRATEGIES
division work. BASF says that the increased proximity will further enhance the efficiency of the division’s research activities. The Advanced Materials & Systems Research division develops new structural materials, dispersions and functional materials as well as organic and inorganic additives for customers in the automotive, construction, packaging, coatings, detergents, cleaning agents, pharmaceuticals, cosmetics, water and wind industries. BASF is expanding its global presence in R&D, particularly in Asia Pacific and North and South America, but Ludwigshafen will remain the largest research facility. Contact: BASF SE, Ludwigshafen, Germany. Tel: +49 621 60 0, Web: www.basf.com or www.dispersions-pigments.basf.com
Henan Billions completes US$1.47 billion purchase of TiO2 rival Lomon
I
n China, Henan Billions Chemicals reports that it has successfully acquired a 100% equity stake in rival domestic titanium dioxide (TiO2) producer Sichuan Lomon Titanium Industry for RMB9 billion (US$1.47 billion). The deal will make Henan Billions the largest TiO2 manufacturer in Asia and the fifth largest worldwide. Henan Billions financed the deal by issuing 380 million shares through a non-public offering, which raised RMB10.26 billion. The integration process will take some time but the new merged company will have a capacity of more than 520 000 tonnes/year of TiO2 behind only DuPont (estimated TiO2 production of 1.2 million tonnes/year), Huntsman (900 000 tonnes/year), Cristal (800 000 tonnes/year) and Kronos (550 000 tonnes/year). It will account for almost a quarter of China’s total production capacity for TiO2. Lomon Titanium is in fact the larger player of the two, having been China’s leading rutile TiO2 producer since it was established in 2000. In 2014, its reported production capacity was 300 000 tonnes/year to Henan Billions’ 200 000 tonnes/year, its total revenue $725 million ($336 million) and net profit $114 million ($10.3 million), with some 5500 employees. In addi-
September 2015
tion, its process technology and R&D are reportedly superior. Moreover, parent company Lomon Corp has a large-scale titanium mining and processing business. However, Henan Billions achieved rapid growth in the past year and a half due to its successful focus on increasing exports – its rutile exports rose more than 50% in 2014, bringing a 20% increase in revenues and a 170% improvement in net profits, outstripping most of its domestic competitors. The new Chinese manufacturer resulting from the merger between Henan Billions and Lomon Titanium will primarily manufacture TiO2 using the sulphate process but plans have already been announced to construct a new 130 000 tonnes/year plant using the chloride process. If the company is successful in producing the high grade products demanded by the market it could become a serious competitor for Western companies, analysts suggest. Henan Billions also disclosed in its announcement that it plans to set up a new company in the USA with $300 000 of registered capital, which will be named Billions (America) Co, Ltd. The new company will be primarily engaged in selling Henan Billions’ TR52 printing ink grade, which it purchased from Huntsman for $10 million last year following that company’s purchase of Rockwood’s TiO2 business [ADPO, December 2014]. Analysts believe that the Billions/Lomon merger will trigger domestic TiO2 price rises and a wave of further mergers and acquisitions activity in China’s TiO2 sector. Contact: Henan Billions Chemicals, Zhongzhan District, Jiaozuo City, Henan Province, China. Tel: +86 391 3126903, Fax: +86 391 3126275, Web: www.billionschem.com Or contact: Sichuan Lomon Titanium Industry, 23 Gao Peng Road, Hi-Tech Zone, Chengdu, Sichuan 6610041, China. Tel: +86 28 85183249 802, Web: en.lomon.com
ICL-IP closes HBCD flame retardant production line
I
CL’s Industrial Products segment (ICL-IP) has announced that it is ceasing production and phasing out sales of its hexabromocyclododecane (HBCD) flame retardant product FR-1206, with the exception of sales based on existing commitments to customers. This is in line with the phase-out dates for HBCD set out in the
Additives for Polymers
7
STRATEGIES
REACH and POP (persistent organic pollutant) legislation, the company says. In future, ICL-IP will only offer its FR-122P polymeric flame retardant (PolyFR) for expanded and extruded polystyrene (EPS and XPS) foam applications that previously used HBCD. The changeover from HBCD to FR-122P is in keeping with the recommendation of the new SAFR™ (Systematic Assessment of Flame Retardants) assessment tool, which was launched by the company in May [ADPO, July 2015] and used to evaluate the sustainability profile of FR-122P. ICL-IP says it is also transitioning to the new product – a brominated block copolymer of butadiene and styrene – as a result of ‘broad positive feedback’ from its customers concerning FR-122P’s suitability for use in the XPS/EPS foam value chain. The company reports that it is working with its customers to ensure an orderly switch from HBCD to its FR-122P offering for these applications. ICL-IP’s Bromine Compounds business unit produces FR-122P under a licence from Dow Global Technologies LLC [ibid., March 2012]. In related news, ICL-IP reports that it has resumed commercial production of the PolyFR product following the end of a labour strike in July at its new 10 000 tonnes/ year plant in Israel, which was started up earlier this year. ICL-IP also produces FR-122P at a 2400 tonnes/year plant in the Netherlands. Both plants are operated as part of the company’s manufacturing joint venture with Albemarle [ibid., October 2014]. Contact: ICL, Tel Aviv, Israel. Tel: +972 3 684 4400, Web: www.icl-group.com or www.icl-ip.com
Troy purchases industrial biocides business from Ashland
N
ew Jersey-based Troy Corp has completed the acquisition of Ashland Specialty Ingredients’ industrial biocides business. The business was formerly owned and operated by ISP, Inc, which was acquired by Ashland Inc in 2011 [ADPO, October 2011]. The financial terms of the current transaction have not been disclosed. Among the product lines included in the deal are the Plastiguard and Fungitrol brands for the plastics market. The other acquired brands serve the paints & coatings, metalworking fluids, and energy market segments.
8
Additives for Polymers
Speciality materials manufacturer Troy was founded in 1950, and is headquartered in Florham Park, NJ, USA. It has sales offices throughout the USA, Canada, Europe, Asia and Latin America. The company’s materials are used and available in more than 100 countries worldwide. Contact: Troy Corp, Florham Park, NJ, USA. Tel: +1 973 443 4200, Web: www.troycorp.com Or contact: Ashland Inc, Covington, KY, USA. Tel: +1 859 815 3333, Web: www.ashland.com
Silvergate’s directors buy 49% stake from Finance Wales
F
inance Wales, the funding body created by the Welsh government to support local firms, has exited from its equity investment in UK-based masterbatch manufacturer Silvergate Plastics, selling its 49% shareholding to the company’s executive directors. The transaction means that Silvergate is now wholly owned by its executive team, headed by managing director Tony Bestall. Finance Wales supported the management buy-out (MBO) of the company from British Vita back in 2008. Silvergate Plastics was founded in 1984 and has grown rapidly in recent years. At the time of the MBO it had an annual turnover of £4.2 million (c. E5.3 million), which has increased in the intervening six and half years to £8.6 million. The company has also invested heavily and is now the UK’s largest custom colour masterbatch manufacturer, according to Finance Wales. The funding body will continue to support the business as a finance provider. ‘We are delighted to own Silvergate Plastics in its entirety and are very grateful that Finance Wales was able to help us grow into a sustainable and thriving organization’, says Bestall, speaking about the deal. ‘We look forward to achieving on-going growth objectives by delivering high-performance products that fulfil the exact needs of our valued customers’, he adds. The company’s next goal is to hit £10 million in annual sales, Bestall reveals. Commenting on the exit from Silvergate, Finance Wales’s portfolio manager Jerry Mobbs says that its longterm financial backing has been ‘instrumental in helping
September 2015
division work. BASF says that the increased proximity will further enhance the efficiency of the division’s research activities. The Advanced Materials & Systems Research division develops new structural materials, dispersions and functional materials as well as organic and inorganic additives for customers in the automotive, construction, packaging, coatings, detergents, cleaning agents, pharmaceuticals, cosmetics, water and wind industries. BASF is expanding its global presence in R&D, particularly in Asia Pacific and North and South America, but Ludwigshafen will remain the largest research facility. Contact: BASF SE, Ludwigshafen, Germany. Tel: +49 621 60 0, Web: www.basf.com or www.dispersions-pigments.basf.com
Henan Billions completes US$1.47 billion purchase of TiO2 rival Lomon
I
n China, Henan Billions Chemicals reports that it has successfully acquired a 100% equity stake in rival domestic titanium dioxide (TiO2) producer Sichuan Lomon Titanium Industry for RMB9 billion (US$1.47 billion). The deal will make Henan Billions the largest TiO2 manufacturer in Asia and the fifth largest worldwide. Henan Billions financed the deal by issuing 380 million shares through a non-public offering, which raised RMB10.26 billion. The integration process will take some time but the new merged company will have a capacity of more than 520 000 tonnes/year of TiO2 behind only DuPont (estimated TiO2 production of 1.2 million tonnes/year), Huntsman (900 000 tonnes/year), Cristal (800 000 tonnes/year) and Kronos (550 000 tonnes/year). It will account for almost a quarter of China’s total production capacity for TiO2. Lomon Titanium is in fact the larger player of the two, having been China’s leading rutile TiO2 producer since it was established in 2000. In 2014, its reported production capacity was 300 000 tonnes/year to Henan Billions’ 200 000 tonnes/year, its total revenue $725 million ($336 million) and net profit $114 million ($10.3 million), with some 5500 employees. In addi-
September 2015
tion, its process technology and R&D are reportedly superior. Moreover, parent company Lomon Corp has a large-scale titanium mining and processing business. However, Henan Billions achieved rapid growth in the past year and a half due to its successful focus on increasing exports – its rutile exports rose more than 50% in 2014, bringing a 20% increase in revenues and a 170% improvement in net profits, outstripping most of its domestic competitors. The new Chinese manufacturer resulting from the merger between Henan Billions and Lomon Titanium will primarily manufacture TiO2 using the sulphate process but plans have already been announced to construct a new 130 000 tonnes/year plant using the chloride process. If the company is successful in producing the high grade products demanded by the market it could become a serious competitor for Western companies, analysts suggest. Henan Billions also disclosed in its announcement that it plans to set up a new company in the USA with $300 000 of registered capital, which will be named Billions (America) Co, Ltd. The new company will be primarily engaged in selling Henan Billions’ TR52 printing ink grade, which it purchased from Huntsman for $10 million last year following that company’s purchase of Rockwood’s TiO2 business [ADPO, December 2014]. Analysts believe that the Billions/Lomon merger will trigger domestic TiO2 price rises and a wave of further mergers and acquisitions activity in China’s TiO2 sector. Contact: Henan Billions Chemicals, Zhongzhan District, Jiaozuo City, Henan Province, China. Tel: +86 391 3126903, Fax: +86 391 3126275, Web: www.billionschem.com Or contact: Sichuan Lomon Titanium Industry, 23 Gao Peng Road, Hi-Tech Zone, Chengdu, Sichuan 6610041, China. Tel: +86 28 85183249 802, Web: en.lomon.com
ICL-IP closes HBCD flame retardant production line
I
CL’s Industrial Products segment (ICL-IP) has announced that it is ceasing production and phasing out sales of its hexabromocyclododecane (HBCD) flame retardant product FR-1206, with the exception of sales based on existing commitments to customers. This is in line with the phase-out dates for HBCD set out in the
Additives for Polymers
7
STRATEGIES
REACH and POP (persistent organic pollutant) legislation, the company says. In future, ICL-IP will only offer its FR-122P polymeric flame retardant (PolyFR) for expanded and extruded polystyrene (EPS and XPS) foam applications that previously used HBCD. The changeover from HBCD to FR-122P is in keeping with the recommendation of the new SAFR™ (Systematic Assessment of Flame Retardants) assessment tool, which was launched by the company in May [ADPO, July 2015] and used to evaluate the sustainability profile of FR-122P. ICL-IP says it is also transitioning to the new product – a brominated block copolymer of butadiene and styrene – as a result of ‘broad positive feedback’ from its customers concerning FR-122P’s suitability for use in the XPS/EPS foam value chain. The company reports that it is working with its customers to ensure an orderly switch from HBCD to its FR-122P offering for these applications. ICL-IP’s Bromine Compounds business unit produces FR-122P under a licence from Dow Global Technologies LLC [ibid., March 2012]. In related news, ICL-IP reports that it has resumed commercial production of the PolyFR product following the end of a labour strike in July at its new 10 000 tonnes/ year plant in Israel, which was started up earlier this year. ICL-IP also produces FR-122P at a 2400 tonnes/year plant in the Netherlands. Both plants are operated as part of the company’s manufacturing joint venture with Albemarle [ibid., October 2014]. Contact: ICL, Tel Aviv, Israel. Tel: +972 3 684 4400, Web: www.icl-group.com or www.icl-ip.com
Troy purchases industrial biocides business from Ashland
N
ew Jersey-based Troy Corp has completed the acquisition of Ashland Specialty Ingredients’ industrial biocides business. The business was formerly owned and operated by ISP, Inc, which was acquired by Ashland Inc in 2011 [ADPO, October 2011]. The financial terms of the current transaction have not been disclosed. Among the product lines included in the deal are the Plastiguard and Fungitrol brands for the plastics market. The other acquired brands serve the paints & coatings, metalworking fluids, and energy market segments.
8
Additives for Polymers
Speciality materials manufacturer Troy was founded in 1950, and is headquartered in Florham Park, NJ, USA. It has sales offices throughout the USA, Canada, Europe, Asia and Latin America. The company’s materials are used and available in more than 100 countries worldwide. Contact: Troy Corp, Florham Park, NJ, USA. Tel: +1 973 443 4200, Web: www.troycorp.com Or contact: Ashland Inc, Covington, KY, USA. Tel: +1 859 815 3333, Web: www.ashland.com
Silvergate’s directors buy 49% stake from Finance Wales
F
inance Wales, the funding body created by the Welsh government to support local firms, has exited from its equity investment in UK-based masterbatch manufacturer Silvergate Plastics, selling its 49% shareholding to the company’s executive directors. The transaction means that Silvergate is now wholly owned by its executive team, headed by managing director Tony Bestall. Finance Wales supported the management buy-out (MBO) of the company from British Vita back in 2008. Silvergate Plastics was founded in 1984 and has grown rapidly in recent years. At the time of the MBO it had an annual turnover of £4.2 million (c. E5.3 million), which has increased in the intervening six and half years to £8.6 million. The company has also invested heavily and is now the UK’s largest custom colour masterbatch manufacturer, according to Finance Wales. The funding body will continue to support the business as a finance provider. ‘We are delighted to own Silvergate Plastics in its entirety and are very grateful that Finance Wales was able to help us grow into a sustainable and thriving organization’, says Bestall, speaking about the deal. ‘We look forward to achieving on-going growth objectives by delivering high-performance products that fulfil the exact needs of our valued customers’, he adds. The company’s next goal is to hit £10 million in annual sales, Bestall reveals. Commenting on the exit from Silvergate, Finance Wales’s portfolio manager Jerry Mobbs says that its longterm financial backing has been ‘instrumental in helping
September 2015