LANXESS AG to acquire Emerald Kalama Chemicals.

Acquired by affiliates of American Security LLC in 2014, Emerald Kalama was formed in 2006 from the divesture of several specialty chemical businesses from Lubrizol.

LANXESS AG to acquire Emerald Kalama Chemicals.

On17th Feb, 2021,a global, leading manufacturer of specialty chemicals, Emerald Kalama Chemical announced that its majority owner has entered an agreement with LANXESS AG to sell Emerald. LANXESS AG is a leading specialty chemicals company.

All of Emerald Kalama’s operations in Washington, the UK, and the Netherlands will be the part of the deal. Following customary and requisite approvals, the sale is expected to be completed in second half of the 2021.

Acquired by affiliates of American Security LLC in 2014, Emerald Kalama was formed in 2006 from the divesture of several specialty chemical businesses from Lubrizol. The company manufacturers consumer-friendly preservatives, nature-identical aroma chemicals, low-VOC coalescents, and non-phthalate plasticizers and modifiers in its Washington state, the UK, and the Netherlands facilities.

Since being acquired by American Security LLC, Emerald has continued to invest in expanding company’s capabilities and growth. In 2015, the company acquired InnospecWidnes Ltd in the United Kingdom, invested USD 40 million for major expansion at its Rotterdam facility, and launched several new products.

Edward Gotch, CEO and board member of Emerald Kalama said, “Emerald has grown at a rapid pace, and we have continuously invested in expanding our capabilities. LANXESS has a sterling reputation within our industry as a global supplier, with a foundation built on exceptional service, responsible manufacturing and growth year-over-year. This is a fantastic development for Emerald, as LANXESS will be able to capitalize on existing successes and position of our businesses to continue growing synergistically.”

Matthias Zachert, chairman of the Board of Management of LANXESS AG, also had some good things to say about the acquisition of Emerald Kalama Chemical. He said, “We are gaining further momentum on our growth course. This acquisition is a great deal as the businesses of Emerald Kalama Chemical are an ideal fit for us. We will further strengthen our Consumer Protection segment and open up new application areas with strong margins, for example in the food industry and animal health sector. In addition, we will also enlarge our presence in our growth region of North America.”

Chairman of Emerald Kalama, Scott Wolff, who is also a managing director at American Securities LLC, said it was part of Emerald’s strategy to find suitable business home for each of the company’s distinct businesses to help them grow continuously. Scott Wolff added, “We are proud to have supported Edward Gotch and the talented Emerald management team to drive growth and expansion of capabilities during our partnership.We are delighted with the deal as it provided a perfect platform for Emerald to grow and utilize its full potential.”