Trinseo announced on Thursday that it has signed a definitive agreement with The Dow Chemical Company to acquire latex production facilities and related infrastructure at Rheinmunster, Germany.
The transaction is expected to close in the second half of 2019, following European Union regulatory approval and customary closing conditions. Consideration for the transaction is approximately €40 million in the form of assumed pension liabilities for transferred employees.
“This acquisition is directly aligned with Trinseo’s strategy to grow its Latex Binders businesses, particularly in applications serving the Adhesives and Construction industry, as well as Specialty Paper,” said Frank Bozich, President and CEO of Trinseo. “Taking full control of these advantaged manufacturing assets will allow the company to produce a wider variety of products, invest capital for technology upgrades, and optimize operations for the mix of products and chemistries most needed by our customers.”
The transaction includes full ownership and operational control of both latex production facilities at Rheinmunster, as well as site infrastructure and services contracts, and approximately 114 employees who are expected to transfer from Dow to Trinseo.
“The acquisition adds to Trinseo’s grid of production facilities across Europe – including an existing Trinseo latex production plant in Rheinmunster, Germany, as well as operations in Hamina, Finland; Norrkoping, Sweden; and Terneuzen, The Netherlands. Together this grid of Latex Binders production facilities allows Trinseo to supply customers all across Europe, the Middle East and northern Africa,” the company stated.
About Trinseo: Trinseo is a global materials solutions provider and manufacturer of plastics, latex binders, and synthetic rubber. The company had approximately $4.6 billion in net sales in 2018, with 16 manufacturing sites around the world, and approximately 2,500 employees.
Source: Trinseo
