06.16.10
Rhodia has announced plans to acquire Feixiang Chemicals (ZJG),
a leading Chinese producer of amines and sufactants, in a deal valued at $489 million.
According to Rhodia, the acquisition represents a unique opportunity for it to integrate specialty amine technologies into the Novecare business portfolio.
According to Rhodia, the acquisition represents a unique opportunity for it to integrate specialty amine technologies into the Novecare business portfolio.
Headquartered in Zhangjiagang near Shanghai, Feixiang Chemicals employsapproximately 650 people. The company has demonstrated its ability to drive significant top line growth (average of 20% per year) while enhancing its profitability over the past five years, according to Rhodia, which expects to further improve this performance thanks to significant revenue synergies.
“This acquisition is a key step in the implementation of Rhodia’s profitablegrowth strategy. Through the integration of Feixiang Chemicals, Rhodiasignificantly strengthens its leadership positions in the surfactant business,while enhancing its footprint in the world’s fastest growing region,”commented Rhodia chairman and chief executive officer Jean- Pierre Clamadieu. “We aim to double the size of the acquired business within the next five years. Following the completion of this acquisition, Rhodia will generate around one third of its net sales in Asia."