PARIS - Arkema announced plans for the acquisition of an additives and emulsions production site from Brazilian group Resicryl. The project illustrates Arkema’s commitment to speeding up its development in Latin America around high-added-value products. Arkema should benefit from the expected strong growth in the mineral industry, paper, construction, water treatment, coatings and adhesives markets.
Under the terms of the agreement, Arkema will acquire, via its subsidiary Coatex, the Araçariguama production site on the outskirts of Saõ Paulo, Brazil. The new entity, which will comprise Coatex’s existing sales in Brazil and those from the new site, will generate around $20 million in sales.
Coatex and Arkema will provide know-how for the manufacture of resins and specialty emulsions used in a wide range of industries, including coatings and adhesives.
The Araçariguama facility was built in 2007. The production plants will gradually be developed to manufacture Arkema’s and Coatex’s full range of rheology additives and waterborne emulsions, and will offer development opportunities using Arkema’s know-how and technologies. Resicryl will refocus its activity on the distribution and production of a limited range of coatings and latex.
The deal is expected to close in the second half of 2012.