A growing chemicals marketplace eyes U.S. expansion

Digital Commerce 360 | February 17, 2020

We experimented in the second half of 2019 with selected pilot customers in the U.S.,” says CheMondis managing director Sebastian Brenner. We are planning to look at a potential roll-out in the second half of 2020—the U.S. is a significant market for chemical products. Details on which U.S. chemical manufacturers, distributors and other buyers and sellers CheMondis is working with weren’t released, but globally CheMondis is making progress building up marketplace buyers and sellers in the $4.7 trillion chemicals industry. A year ago, CheMondis had about 200 buyers and sellers that used the marketplace to directly negotiate individual terms and prices. Buyers could get instant order confirmations, maintain all transactions and related documentation, view product and supplier catalogs and see instant deals, among other tasks.

Spotlight

This next report in the series, entitled The chemical multiverse 4.0, seeks to accomplish much the same thing, albeit in a very different context. The times have changed and so has the chemical industry. Despite extraordinary pressures from a multitude of sources the industry has continued to perform.

Spotlight

This next report in the series, entitled The chemical multiverse 4.0, seeks to accomplish much the same thing, albeit in a very different context. The times have changed and so has the chemical industry. Despite extraordinary pressures from a multitude of sources the industry has continued to perform.

Related News

CHEMICAL MANAGEMENT

Arkema Strengthens Its Portfolio of Engineering Adhesives With the Acquisition of PMP in China

Arkema | February 22, 2022

Arkema is expanding its offer of engineering adhesives with the planned acquisition of Shanghai Zhiguan Polymer Materials (PMP), specialized in hot-melt adhesives for the consumer electronics market. This project is in line with Bostik’s strategy to build a strong position in the attractive engineering adhesives market and to accelerate its development in the fast-growing electronics market, especially in Asia. Arkema is announcing the planned acquisition of Chinese company PMP (Shanghai Zhiguan Polymer Materials), which specialises in reactive hot-melt polyurethane (HMPUR) adhesives and generates over €1 million in annual sales. These adhesives are mainly dedicated to the consumer electronics market and are used in the bonding of mobile phones, tablets, laptops and connected objects. Thanks to its expertise in formulating innovative solutions and its recognized know-how in processes and R&D, PMP has developed solid positions in the very demanding and high-added-value consumer electronics market. With this acquisition, Bostik will strengthen its portfolio of technologies in engineering adhesives, where the Group already has a robust know-how in cyanoacrylate, MMA and UV technologies, developed notably through the acquisitions of Afinitica, Nitta and AEC Polymers. Thanks to strong technological and commercial complementarities, this bolt-on acquisition offers many development synergies, and will contribute to substantially accelerating Bostik’s expansion in the fast-growing consumer electronics market in Asia. This operation is scheduled to close in Q1 2022. Building on its unique set of expertise in materials science, Arkema offers a portfolio of first-class technologies to address ever-growing demand for new and sustainable materials. With the ambition to become in 2024 a pure player in Specialty Materials, the Group is structured into 3 complementary, resilient and highly innovative segments dedicated to Specialty Materials -Adhesive solutions, Advanced Materials, and Coating Solutions- accounting for some 82% of Group sales in 2020, and a well-positioned and competitive Intermediates segment. Arkema offers cutting-edge technological solutions to meet the challenges of, among other things, new energies, access to water, recycling, urbanization and mobility, and fosters a permanent dialogue with all its stakeholders. The Group reported sales of around €8 billion in 2020, and operates in some 55 countries with 20,600 employees worldwide.

Read More

CHEMICAL TECHNOLOGY

Piper Sandler Advises PTTGC on Advent's Acquisition of Allnex

Piper Sandler | July 14, 2021

The Valence Group at Piper Sandler & Co. announced today that it advised PTT Global Chemical Public Company Limited on its acquisition of Allnex, a leading global specialty chemical company focused on industrial coating resins, from Advent International for an enterprise value of €4.0 billion (approximately $4.75 billion). The company has about €2 billion in sales, an EBITDA margin of 17-19%, and a global production network of 33 cutting-edge manufacturing sites in 18 countries, 23 research and technology centers, and approximately 4,000 people globally. Allnex was initially created by combining Cytec Coating Resins and Nuplex. The majority of its manufacturing network is in Asia, while its corporate headquarters are in Frankfurt, Germany. Allnex's acquisition is subject to regulatory approval and is anticipated to close in the fourth quarter of 2021. PTTGC retained Piper Sandler as its exclusive financial adviser in connection with its purchase of Allnex. PTT Global Chemical Company Limited is a global chemical company based in Bangkok, Thailand, with diverse and extensive petrochemical operations that include the production and distribution of upstream, intermediate, and downstream petrochemical products. PTTGC is a Thai stock exchange-listed company with revenues in excess of USD 10 billion. PTT Public Business Limited, a Fortune Global 500 company and the Thai state's integrated energy and petrochemical firm (51 percent owned), is the main stakeholder and will provide loan funding. Allnex is the world's leading manufacturer of industrial coating resins, crosslinkers, and additives. The company is known as a specialty chemicals pioneer, with a diverse product range that includes innovative liquid resins and additives, radiation-cured and powder coating resins for use on wood, metal, plastic, and various other surfaces. The company operates in over 100 countries and has significant positions in the automotive, industrial, marine, ornamental, and packaging sectors and specialty and protective coatings. Advent International, founded in 1984, has invested in over 375 companies in 42 countries and has $75 billion in assets under management as of March 31, 2021. Advent has 14 offices in 11 countries and a worldwide integrated team of approximately 240 investment experts from North America, Europe, Latin America, and Asia. The company invests in five main sectors: business and financial services, healthcare, industrial, retail, consumer and leisure, and technology. ABOUT PIPER SANDLER Piper Sandler Companies is a leading investment bank dedicated to assisting customers in Realizing the Power of Partnership®. Piper Sandler & Co., member SIPC and NYSE, provides securities brokerage and investment banking services in the United States; Piper Sandler Ltd., authorized and regulated by the United Kingdom Financial Conduct Authority; and Piper Sandler Hong Kong Ltd., authorized and regulated by the Securities and Futures Commission. In addition, private equity and fixed income advising services are provided by separate registered advisory affiliates.

Read More

CHEMICAL TECHNOLOGY

CORRECTING and REPLACING IPACKCHEM to Acquire and Partner With Mullackal

IPACKCHEM | November 10, 2021

IPACKCHEM Group (“IPACKCHEM”) announced it has signed a definitive agreement to partner with Mullackal Polymers Private Limited (“Mullackal”), a leading crop protection packaging provider in India, via an acquisition of the business. Founded in 1987 by JP Morvan, IPACKCHEM is a leading global supplier of innovative and specialized barrier packaging solutions serving the crop protection and specialty chemicals end markets. IPACKCHEM’s leading market positions are further underscored by its strong sustainability orientation and 100% recyclable plastic barrier packaging. It currently has facilities across Europe, the UK, Russia, China, Brazil and South Africa. With three facilities in Western India, Mullackal is a manufacturer of premium HDPE and barrier plastic containers, caps and measuring cups for India’s crop protection and specialty chemical industry. Founded in 1976 by P.K.N. Pillai, Mullackal pioneered plastic barrier manufacturing technology in India and today serves the largest multinational crop protection players with a presence in India. The partnership with Mullackal will allow IPACKCHEM to establish a strong presence in India’s large and high-growth market and position it for future expansion in the country. “We are extremely excited to partner with Ramesh and Karthik Pillai, who have built a high-quality and innovative business, and we look forward to accelerating Mullackal’s growth under IPACKCHEM ownership. By leveraging IPACKCHEM’s sustainable barrier technology, Mullackal will be uniquely positioned to provide high-quality recyclable packaging for customers in India. Similarly, we expect to leverage Mullackal’s proprietary caps technology (CRTESS) across IPACKCHEM’s existing product portfolio. This transaction is core to our strategy of being the leading global barrier packaging player serving crop protection and specialty chemicals customers. We will continue to aggressively pursue acquisitions in new geographies, including North America, to fully mirror our clients’ global footprint.” JP Morvan, CEO of IPACKCHEM Mullackal owner and Managing Director Ramesh Pillai said, “IPACKCHEM is the perfect partner for Mullackal and we are excited to continue providing best-in-class packaging to India’s leading crop protection players with the added benefit of IPACKCHEM’s resources and industry relationships. Karthik and I will continue to lead Mullackal and look forward to working with JP and his team to bring their innovative solutions to the Indian market and grow our presence in India.” In partnership with SK Capital Partners, IPACKCHEM is continuing its international expansion to better support its multinational customers globally, leveraging its unique industrial know-how and strong commitment to sustainability. SK Capital, which acquired IPACKCHEM earlier this year, is a private investment firm focused on the specialty materials, chemicals and pharmaceuticals sectors with more than $5 billion of assets under management and a global portfolio of businesses generating approximately $11 billion of revenues annually. The transaction is expected to close towards the end of 2021. KPMG acted as exclusive M&A advisor and CK Juris and Pioneer Legal acted as legal counsel to IPACKCHEM. EY acted as exclusive M&A advisor and Lumiere Law Partners acted as legal counsel to Mullackal. About IPACKCHEM Headquartered in Paris, France, IPACKCHEM is a leading global manufacturer of innovative plastic packaging products (containers, bottles, jerrycans) for the crop protection and specialty chemicals end markets. The Company’s UN-approved packaging solutions enable users to safely transport and distribute “hard-to-hold” and hazardous chemicals, while adhering to stringent regulations. IPACKCHEM currently operates through 8 production facilities, employs ~850 people and serves ~1,200 customers in 35 countries. IPACKCHEM carries an Ecovadis Gold rating.

Read More