MOSCOW (MRC) -- Evonik completed the acquisition of the Porocel Group, Houston (USA), for USD 210 million, as planned, said Myconvernto.
Contributions from the new business will therefore be included in Evonik’s sales and earnings as of this day. The company with its approximately 300 employees and the corresponding production facilities will be integrated into the Smart Materials division of Evonik. Porocel's global activities in the field of desulfurization catalyst rejuvenation, sulfur recovery catalysts and alumina based purification adsorbents represent an expansion of Evonik's catalyst portfolio.
The intensive planning work that has been done for the integration into the business line Catalysts over the past few months will be put into action straight away. Porocel's customers will continue to receive the same high-quality products and services they have come to expect via the established sales channels.
Claus Rettig, head of the Smart Materials division, sees additional growth potential in Evonik's global catalyst business through the transaction. “The Catalysts business line is an important driver of growth and sustainability within Evonik's Smart Materials division. With the targeted acquisition, we expand our competencies with new technologies and products. In this way, we enable our customers to make their processes and products more efficient and resource-saving,” said Rettig. "The global presence of Porocel along with its available production capacities will further strengthen the worldwide presence of Evonik's catalyst activities."
"With the technology for the highly efficient rejuvenation of desulfurization catalysts, Evonik will be able to serve the growing market for low-sulfur fuels. Catalyst rejuvenation reduces CO2 emissions, contributes to sustainability and transition to circular economy thus enabling the reduction of the carbon footprint. Porocel represents a decisive milestone for the Catalysts business line and opens up a new horizon for growth,” says Sanjeev Taneja, head of Evonik's Catalysts business line at Evonik.
For the financial year 2019, Porocel generated sales of approximately US$ 100 million and EBITDA of about USD 23 million in 2019. The EBITDA margin at around 23 percent is above Evonik's target range of 18-20 percent.
As MRC reported before, Dow and Evonik have recently entered into an exclusive technology partnership. Together, they plan to bring a unique method for directly synthesizing propylene glycol (PG) from propylene and hydrogen peroxide to market maturity.
We remind, construction work on the largest investment to date by the specialty chemicals company Evonik in Germany, at more than EUR400 million, is progressing well. The first plant was completed on schedule in mid-October and is currently being commissioned. Further plants will follow by the first quarter of 2021, with full completion expected in the first half of 2021.
Propylene is the main feedstock for the production of polypropylene (PP).
According to MRC's ScanPlast report, PP shipments to the Russian market reached 767,2900 tonnes in the eight months of 2020 (calculated using the formula - production minus exports plus imports - and not counting producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
Evonik is one of the world leaders in specialty chemicals. The focus on more specialty businesses, customer-oriented innovative prowess and a trustful and performance-oriented corporate culture form the heart of Evonik’s corporate strategy. They are the lever for profitable growth and a sustained increase in the value of the company. Evonik benefits specifically from its customer proximity and leading market positions. Evonik is active in over 100 countries around the world with more than 36,000 employees.
MRC