DIC Corporation announced that it has acquired mid-tier Indian resins manufacturer Ideal Chemi Plast Pvt. Ltd on April. 27, 2019.
The details on the transaction were not disclosed.
Ideal Chemi Plast produces and sells acrylic, alkyd, polyester and other resins for use in, among others, automotive refinish, coil and wood coatings. Ideal Chemi Plast also boasts outstanding marketing capabilities, which leverage the expertise and business contacts of its founders, and technological prowess, which facilitate the development of products that meet user needs. These proficiencies enable the company to provide a broad range of high-performance, low-cost products, earning high marks from both local and foreign-owned coatings manufacturers.
DIC conducted extensive discussions with Ideal Chemi Plast with the aim of collaborating with a company that is familiar with the promising Indian coating resin market to facilitate full-scale market entry. DIC reached the acquisition after assessing that fusing its ability to develop high-end resins with the know-how and supply chain of Ideal Chemi Plast in India would quickly boost its position in the Indian market.
The new medium-term management plan of the DIC Group, DIC111, launched in January 2019, continues to advance the globalization of its performance materials business and has a regional strategy to expand South Asia’s production bases.
“Our Group will position India as an important area for accelerating global development, and will work on joint operations with group companies in neighboring countries based on Ideal in the future, while promoting joint product development and capital investment as well as business scale we will expand,” the company stated.