On Thursday Archroma, a leader in specialty chemicals for the textile, paper and emulsion sectors, announced it has entered an agreement to purchase the global textile chemical business BASF.
BASF, an innovator of product and technologies for the textile chemical market, is known for its expertise in printing, finishing and coating chemicals. The acquisition will broaden Archroma’s capabilities and complement its textile dyes and chemical portfolio, which includes Nylosan and Foron, as well as expand its geographical footprint. The purchase will also allow Archroma to reinforce its Textile Specialties team with BASF’s global specialist team, which has a strong presence in Asia and other high growth markets.
Under the agreement, Archroma CEO Alexander Wessels said the company is able to bring together the century-old history of BASF textile chemicals products, technologies and people with Archroma’s already strong heritage from Hoechst, Sandoz and Clariant. “Archroma already acquired 49 percent of textile manufacturer M. Dohmen in May 2014, illustrating our company’s determination to become the preferred supplier in our industries,” he said.
Thomas Winkler, Archroma’s textile specialties president, added, “We are looking forward to partnering with the management and employees of the BASF textile chemicals business. I am convinced that together we can build upon our strong technologies and market positions with the same commitment to customer focus, innovation, world-class quality standards, high service levels, cost-efficiency and sustainability.”
The deal is expected to close by the end of the first quarter in 2015. Both parties have agreed not to disclose the financial details of the transaction.