BASF to acquire a leading manufacturer for TPU adhesives - Taiwan Sheen Soon

MOSCOW (MRC) -- BASF, the German chemicals giant, has entered into a definitive agreement to fully acquire the business and assets in Taiwan and Mainland China of Taiwan Sheen Soon (TWSS), a leading manufacturer for thermoplastic polyurethanes (TPU) adhesives base material, as per BASF's statement.

"The acquisition is part of our efforts to systematically pursue growth in the attractive TPU market. It is a valuable addition to our existing TPU portfolio; strengthening our manufacturing footprint in Asia," said Mr Raimar Jahn, President, Performance Materials, BASF. "As TWSS has been at the forefront of TPU adhesives innovation, the acquisition is a strategic move that will strengthen BASF’s competences in this important growth field."

The acquisition of the adhesives business of TWSS complements BASF’s established position in TPU extrusion as well as injection molding grades for various segments, such as footwear. An example of TPU application in the footwear segment is the "Energy Boost" running shoe from adidas, made with expanded TPU, which BASF markets under the name Infinergy.

With the acquisition, the company will become an integrated solution provider for TPU and TPU adhesives, which enhances its value proposition to customers.

The acquisition is expected to close in 2015, pending necessary internal and external approvals. The integration will take effect in 2015. The parties have agreed not to disclose financial details of the agreement.

We remind that, as MRC informed previously, in October 2014, BASF and Archroma agreed on the sale of BASF’s global textile chemicals business to Archroma, a supplier of specialty chemicals to the textile, paper and emulsions industries.

Taiwan Sheen Soon Co., Ltd (TWSS) is a leading TPU manufacturer, specialized in TPU for solvent based adhesive and hotmelt. Established in July 1997, TWSS’s products currently reach over 25 countries worldwide. In 2009, it won the title of the 12th Rising Star in Taiwan.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries. BASF had sales of about EUR74 billion in 2013 and over 112,000 employees as of the end of the year.
MRC

MOSCOW (MRC) -- German chemical-industry production and sales will rise 1.5% next year, matching gains in 2014, with growth from abroad outpacing domestic demand, reported Hydrocarbonprocessing with reference to the VCI trade group.

The decline of selling prices in the chemical and pharmaceutical industry is likely to slow to 0.5% in 2015 from a 1% drop this year, VCI said today at a press briefing in Frankfurt, where the group is based.

VCI, which represents more than 1,650 German chemical companies including BASF and Bayer, said it expects economic stabilization in the euro zone to continue next year. Sales in the second half of this year have turned out better than September forecasts, leading VCI to raise its revenue-growth target for 2014 back to 1.5% to a total of about 193.6 billion euros (USD237.3 billion).

The group had predicted an industry revenue gain of 1% for this year.

"On the domestic market, we can count on stable demand from our customers in the industrial network," VCI president Marijn Dekkers said. "Demand continues to rise in Europe, our most important market outside Germany. Business with the US is turning out very good."

Dekkers, who is also CEO of Bayer, called for politicians to strengthen innovation policies and ensure that energy is affordable.
MRC

MOSCOW (MRC) -- A small fire broke out early Tuesday morning at a chemical plant in La Porte, reported Houston Chronicle.

The incident occurred about 7:40 a.m. at Akzo Nobel at 730 Independence Parkway, according to company officials.

Officials said on-site emergency-response crews at the facility doused the flames within about 20 minutes. A contract worker was taken to a nearby hospital for evaluation. The person's possible injuries and condition were not released.

Officials said no shelter-in-place order has been issued for the plant or the surrounding areas.

Company officials said the incident occurred during a maintenance activity. Officials are investigating the incident to determine what sparked the fire.

As MRC wrote before, in early March 2013, an explosion rocked a chemical company in La Porte, creating a massive fireball and smoke that could be seen for miles around. The fire broke out at the AkzoNobel plant in La Porte at about 1 pm. The 80 to 100 employees and contractors were quickly evacuated, but one didn"t escape without injury and was transported to a local hospital. The fire was brought under control in about 45 minutes.

Akzo Nobel N.V., trading as AkzoNobel, is a Dutch multinational, active in the fields of decorative paints, performance coatings and specialty chemicals. Headquartered in Amsterdam, the company has activities in more than 80 countries, and employs approximately 55,000 people.
MRC

MOSCOW (MRC) -- BASF, the German chemicals giant, broke ground on a new Innovation Campus in Navi Mumbai, India, said the company in its press release.

The company will invest approximately EUR50 million via BASF Chemicals India Private Limited, a wholly owned subsidiary of BASF SE. The facility will accommodate around 300 scientists investigating areas such as crop protection, process development and polymer research.

In 2020, BASF aims to generate EUR30 billion of sales worldwide with products that have been introduced in the market since 2011. The basis for these innovations is effective and efficient research and development. To achieve this ambitious goal, BASF is further developing the research organization and bundling its competencies in three global platforms, with the headquarters of Advanced Materials & Systems Research based in the Asia Pacific region. The BASF Innovation Campus (Mumbai) will be a key hub of BASF’s global research and development (R&D) network, and, next to Shanghai, BASF’s second major R&D location in Asia Pacific.

The BASF Innovation Campus (Mumbai) will host global research activities and regional and local development activities. Development activities will serve BASF’s Performance Chemicals, Care Chemicals, and Pigments & Dispersions businesses. By combining development activities with global research, the campus will foster exchange of know-how and ideas about latest technologies and methods, ensure access to state-of-the-art equipment, and create synergies.

The BASF Innovation Campus (Mumbai) will begin operation in 2017 and will include synthesis, application, process, and analytical laboratories. Along with scientific facilities, the 20,000 square meter site includes technical facilities, logistics areas, a full-scale auditorium and canteen, and employee amenities areas.

As MRC wrote before, BASF entered into a definitive agreement to fully acquire the business and assets in Taiwan and Mainland China of Taiwan Sheen Soon (TWSS), a leading manufacturer for thermoplastic polyurethanes (TPU) adhesives base material.

BASF in India has 2,254 employees at eight production sites and sales offices as well as two R&D centers. In 2013, BASF registered sales of EUR1.02 billion to customers in India.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries. BASF had sales of about EUR74 billion in 2013 and over 112,000 employees as of the end of the year.
MRC

MOSCOW (MRC) -- Wood plastic composite are manufactured with major five process across the globe which includes extrusion, injection, co-extrusion, foaming and rotomolding, said Plastemart.

Leading companies in the wood plastic composite are continuously seeking new technologies for manufacturing wood plastic composite with high efficiency. The wood plastic composite market is projected to reach USD4,601.7 mln by 2019, as per Research and Markets. By type, polyethylene are estimated to be the largest in 2014, and are projected to grow with the increasing demand for decking in the building and construction segment. Benefits such as high resistant to rot, decay, and marine borer attack are driving the market demand.

The wood plastic composite market is segmented on the basis of application that includes building and construction products, automotive components, industrial & consumer goods, and others. The demand for wood plastic composite for building and construction products accounted for the largest share in 2014. North America is the largest consumer of wood plastic composite in 2014, followed by the Asian region.

As MRC wrote before, attributes of light weight and performance are pushing the use of composites in public transportation. Due to safety issues and rising gasoline prices, public transportation including buses, trains and trams are being used extensively. This is having a positive ripple effect on the uptake of composites. While the resins used in public transportation have different properties, strength and resistance to heat and chemicals are the major factors underpinning their appeal.

MRC