Arkema To Buy Total Units For $729 Million
France's Arkema plans to buy parts of Total's specialty chemicals business for €550 million ($729 million) to expand its coatings resins unit and boost its presence in Asia.
Arkema plans to buy Cray Valley and Cook Composites & Polymers coatings resins units and Sartomer's photocure resins businesses, which together employ nearly 1,750 people in 13 countries and are forecast to have 2010 sales of €850 million.
"This project would provide Arkema with new growth drivers in Asia," Arkema said in a statement, referring to Cray Valley's facilities in India and Malaysia and Sartomer's newly opened plant near Canton, China.
Coatings are used in paint, while photocurable resins made of acrylates can be used in optical fibers and DVDs.
The acquisition comes as Arkema, which makes a wide range of products for industries like construction, cars, electronics and food manufacturing, has launched a plan to acquire companies representing about €1 billion in sales.
