AkzoNobel adds new capacity for water-based texture paints in China

AkzoNobel adds new capacity for water-based texture paints in China

AkzoNobel has invested in a new production line for water-based texture paints at its Songjiang site in Shanghai, China – boosting capacity for supplying more sustainable products, said the company.

The site is one of four water-based decorative paints plants in China and among the company’s largest globally. The new 2,500 square meter facility will produce Dulux products for various markets, such as interior decoration, architecture and leisure.

"As AkzoNobel's largest single country market, China has huge potential,” says Mark Kwok, AkzoNobel’s President of China/North Asia and Business Director for Decorative Paints China/North Asia. “The new production line will help to enhance our leading position in paints and coatings in China by expanding new markets and further driving us our towards our Grow & Deliver strategic ambitions."

The coatings industry in China is expected to continue expanding, largely driven by the country’s increasing focus on energy conservation and emission reduction. The production of low VOC, water-based paints will therefore need to keep expanding to meet the demand.

"Our new production line will not only enable us to better meet market demand, but also help to optimize our supply chain so we can serve customers more efficiently and effectively,” adds Fred Moreux, AkzoNobel’s Asia Manufacturing Director. "It’s also a great example of our People. Planet. Paint. approach to pioneering more sustainable products, optimizing resources and improving productivity."

Nearly EUR7.5 million has been invested in the Songjiang since the start of 2021. The new production line features an advanced system which lowers VOC emissions. Other recent projects include introducing new solar energy systems and a more automated high-speed filling line.

As per MRC, AkzoNobel has completed the acquisition of Colombia-based coatings producer Grupo Orbis for an undisclosed fee. Grupo Orbis has consolidated revenue of around EUR360m, with presence in 10 countries in Central America, South America and the Antilles, according to the statement by AkzoNobel.
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Wacker to raise prices for dispersions, resins and dispersible powders from Europe

Wacker to raise prices for dispersions, resins and dispersible powders from Europe

Effective July 1, 2022, or as customer contracts allow, the Wacker Group is to raise its prices for dispersions, resins and dispersible polymer powders sourced from its production sites in Europe, said the company.

Prices for these products will be increased by up to 10 percent. This measure has been necessitated by rising costs for raw materials and logistics. Surging costs will also result in an increase in existing surcharges for dispersible polymer powders. The price adjustments will enable the Wacker Polymers division to continue providing customers with high product quality, technological innovations, best-in-class customer service and technical support, along with supporting investment to secure the capability for future growth across focus markets.

As per MRC, Wacker Chemie AG is accelerating the expansion of its production capacities. Investment projects to this end are either in the planning stage or are nearing completion. Significant capacity expansions for liquid silicone rubber (LSR) will be available in the second half of this year, and will come into full effect in 2023. Increasing production volumes for high con¬sistency rubber (HCR) are also scheduled. With expansion measures at several other sites, Wacker will gradually in¬crease its capacities for HCR and LSR grades significantly in the next few years. Over EUR100 million have been earmarked for this capacity boost.

Wacker Polymers is a leading producer of state-of-the-art binders and polymeric additives based on polyvinyl acetate and vinyl acetate copolymers and terpolymers. These take the form of dispersible polymer powders, dispersions, solid resins, and solutions. They are used in construction chemicals, paints and surface coatings, adhesives, sealants, carpet applications and nonwovens, as well as in fiber composites and polymeric materials based on renewable resources.

Wacker Polymers operates production sites in Germany, China, South Korea and the USA. The business division also maintains a global sales organization and runs technical centers in all key regions.

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Air Liquide and Siemens Energy form a joint venture for the European production of large-scale renewable hydrogen electrolyzers

Air Liquide and Siemens Energy form a joint venture for the European production of large-scale renewable hydrogen electrolyzers

Air Liquide and Siemens Energy announce the creation of a joint venture dedicated to the series production of industrial scale renewable hydrogen electrolyzers in Europe, said the company.

With two of the global leading companies in their field combining their expertise, this Franco-German partnership will enable the emergence of a sustainable hydrogen economy in Europe and foster a European ecosystem for electrolysis and hydrogen technology. Production is expected to begin in the second half of 2023 and ramp-up to an annual production capacity of three gigawatts by 2025.

Air Liquide will take 25.1 percent, and Siemens Energy will hold 74.9 percent of the joint venture, which creation remains subject to approval of the competent authorities. This joint venture will be headquartered in Berlin. The joint venture multi-gigawatt factory that produces electrolysis modules (“stacks”) would be also located in the German capital, as announced earlier this year. This factory will supply stacks to both Groups for their respective broad range of customers and to serve the rapidly growing market. Based on proton exchange membrane (PEM) electrolysis technology, these stacks will feature a high degree of efficiency and are ideally suited to harvest volatile renewable energy. In addition, Air Liquide and Siemens Energy have agreed to dedicate R&D capacities to the co-development of the next generation of electrolyzer technologies within the framework of the partnership.

The strategic partnership will benefit from a portfolio of hydrogen projects combining both Air Liquide and Siemens Energy’s pipelines, targeting large industrial-scale hydrogen projects in collaboration with customers. This will create a solid basis for the required rapid ramp-up of electrolysis capacities and thus is expected to make competitive renewable hydrogen available sooner. One of the first projects is the Air Liquide Normand’Hy electrolyzer project, with a capacity of 200 megawatts (MW) expected in the first phase, located in Normandy, France. The assembly of the electrolyzer systems for this project is planned to be made in France.

As per MRC, Air Products has appointed Sushila Mani as Managing Director of Prodair Air Products India. Announcing the news on 20th June, the industrial gas giant said Mani will lead its engineering, procurement and construction (EPC) centres in Pune and Vadodara, India.
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AkzoNobel share buyback in June

AkzoNobel share buyback in June

AkzoNobel has repurchased 260,040 of its own common shares in the period from June 13, 2022, up to and including June 17, 2022, at an average price of EUR69.95 per share, said the company.

The consideration of the repurchase was EUR18.19 million. This is part of a repurchase program announced on February 9, 2022. AkzoNobel intends to repurchase common shares up to a value of €500 million. The total number of shares repurchased under this program to date is 2,647,901 ordinary shares for a total consideration of €207.69 million.

The share buyback is due to be completed by the first quarter of 2023. The company has engaged a third party to manage the program and perform transactions on its behalf. It is intended that the shares will be cancelled following repurchase.

This share buyback will be implemented within the limitations of the authority granted by the Annual General Meeting (AGM) on April 22, 2022. The share repurchase program will be conducted within the parameters prescribed by the Market Abuse Regulation 596/2014 and the safe harbor parameters prescribed by the Commission Delegated Regulation 2016/1052 for share buybacks.

As per MRC, AkzoNobel expects business in Russia to wind down in the next couple of months due to difficulties accessing raw materials and the increasing deterioration of supply chains. The firm, which operates four plants in the country, expects its Russian assets to go out of business within the next couple of months due to the impact of sanctions imposed on the country and intensifying supply chain disruption, as well as the ability of key customers to finance orders.
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SK Capital announces Asim Bhatia as Director, Business Development

SK Capital announces Asim Bhatia as Director, Business Development

SK Capital Partners, LP, a private investment firm focused on the specialty materials, specialty chemicals, and pharmaceuticals sectors, announced the hiring of Asim Bhatia as Director, Business Development, said the company.

Mr. Bhatia will be based in New York and brings nearly 25 years of strategic corporate development, M&A, investment banking, and corporate banking experience to SK Capital.

In this role, Mr. Bhatia will coordinate and lead the firm’s efforts to identify and develop new investment opportunities. Prior to joining SK Capital, Mr. Bhatia was a Senior Director of Corporate M&A at DuPont de Nemours, Inc., where he led both the acquisitions and divestitures of several businesses during his tenure. Prior to DuPont, Mr. Bhatia held similar roles at Honeywell and Eastman Chemical, and was previously an investment banker.

"We are delighted to welcome Asim to the SK Capital team. His experience managing M&A for several of the most respected corporates in our sectors is a highly valuable skill set. We believe a dedicated effort to developing and managing the large pipeline of opportunities across our industries of focus will serve to enhance our investment practice,” said Mario Toukan, Managing Director of SK Capital.

As per MRC, Neste, Covestro and South Korean petrochemical company SK geo centric are cooperating to enable the production of a major polyurethane raw material based on renewable raw materials via mass balance. The cooperation will see Neste provide SK geo centric with renewable Neste RE, an ISCC certified feedstock for polymers and chemicals made from 100% renewable raw materials such as waste and residue oil and fats. SK geo centric will process this feedstock into benzene at the company’s facilities in South Korea and supply it to Covestro to use as raw material for methylene diphenyl diisocyanate (MDI) at its site in Shanghai, China.

SK Capital is a private investment firm with a disciplined focus on the specialty materials, specialty chemicals, and pharmaceuticals sectors. The firm seeks to build strong and growing businesses that create substantial long-term economic value. SK Capital aims to utilize its industry, operating, and investment experience to identify opportunities to transform businesses into higher performing organizations with improved strategic positioning, growth, and profitability, as well as lower operating risk. SK Capital’s portfolio of businesses generates revenues of approximately $15 billion annually, employs more than 20,000 people globally, and operates 191 plants in 32 countries.
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