Brenntag Buys Matrix Chemical
In its fifth announced acquisition so far this year, Brenntag has taken over North America's Matrix Chemical for an undisclosed sum. Signing and closing of the acquisition occurred simultaneously.
Based in Plano, Texas, Matrix distributes solvents throughout the US and Canada and is, according to Brenntag, the largest distributor of acetone in North America. The company's sales for 2021 to date are about $200 million. Matrix also operates storage tanks at bulk terminals in Houston, Texas; Chicago, Illinois; Vanport, Pennsylvania; and Wilmington, North Carolina.
Commenting on the deal, Anthony Gerace, Brenntag's managing director mergers & acquisitions, said: "Matrix and its terminals in the United States perfectly complement our existing network in the region. The acquisition is strategically aligned with our growth strategy in North America as it creates substantial additional acetone capacity in key geographic areas at advantaged barge economics. The combined network will improve our geographic coverage and operating efficiency and allow us to better serve our customer and supply partners alike.”
Last month, Brenntag announced that its Specialties division had closed on two China acquisitions. These included the first tranche of food ingredients specialist Zhongbai Xingye and the full takeover of pigments and additives company Wellstar Group.
The Germany-headquartered multinational distributor also agreed in June to buy US-based Storm Chaser Holding, known as JM Swank, from Platinum Equity for an enterprise value of $304 million. JM Swank is a leading distributor of food ingredients with 2020 sales of roughly $500 million.
In January, Brenntag bought ICL Packed in the UK, expanding its water treatment business.
Author: Elaine Burridge, Freelance Journalist
