Solenis to Buy KLK Kolb’s Paper Process Chemicals
Solenis, globally oriented producer of specialty chemicals for water-intensive industries, has entered a definitive agreement with Kolb Distribution, part of KLK Kolb, to acquire Kolb’s paper process chemicals business. The deal is expected to close by the end of Q1 2023, subject to regulatory approval and customary closing conditions.
Wilmington, Delaware-headquartered Solenis said the acquisition will expand its product offering. Under a long-term supply pact, Kolb will produce paper process chemicals exclusively for the new owner, while the two business will continue to operate independently.
Based in Wilmington, Delaware, Solenis has 49 manufacturing facilities in 120 countries and a portfolio incorporating water treatment chemistries, process aids and functional additives, as well as state-of-the-art monitoring and control systems.
Thanks to the deal with Kolb, Jonas Boström, vice president and general manager, EMEA Consumer Solutions, said Solenis will be able to secure supply of cost-effective and high-quality products to customers in Europe, the Middle East and Africa. “The added range of process technologies and product flexibility ensures that we can meet even more application-specific product needs,” he said.
The KLK Kolb group belongs to KLK Oleo, the manufacturing division of Kuala Lumpur-based Kepong Berhad, a leading international plantations group. The portfolio of the oleochemicals producer with integrated facilities in Malaysia, Indonesia, China, and Europe ranges from base products such as fatty acids, glycerine, fatty alcohols and fatty esters to specialties such as methyl ester sulphonates (MES), surfactants and phytonutrients..
The agreement just signed represents the first bolt-on acquisition for Solenis since its owner Platinum Equity bought out BASF’s minority joint venture with Clayton, Dubilier & Rice (CD&R) in 2021. BASF merged its wet-end Paper and Water Chemicals business into Solenis in early 2019 and subsequently sold a majority stake to CD&R.
Solenis is proving to be an outstanding platform for growth, both organically and through strategic M&A, said Platinum Equity partner, Jacob Kotzubei, who hinted that the investor plans to continue expanding the company.
Author: Dede Williams, Freelance Journalist
