Trinseo
(NYSE: TSE), a global materials solutions provider and manufacturer of
plastics, latex binders and synthetic rubber, today announced it has
signed a definitive agreement with The Dow Chemical Company to acquire
latex production facilities and related infrastructure at Rheinmunster,
Germany.
The transaction is expected to close in the second half of 2019,
following European Union regulatory approval and customary closing
conditions. Consideration for the transaction is approximately €40
million in the form of assumed pension liabilities for transferred
employees.
“This acquisition is directly aligned with Trinseo’s strategy to grow
its Latex Binders businesses, particularly in applications serving the
Adhesives and Construction industry, as well as Specialty Paper,” said
Frank Bozich, President and CEO of Trinseo. “Taking full control of
these advantaged manufacturing assets will allow Trinseo to produce a
wider variety of products, invest capital for technology upgrades, and
optimize operations for the mix of products and chemistries most needed
by our customers.”
The transaction includes full ownership and operational control of both
latex production facilities at Rheinmunster, as well as site
infrastructure and services contracts, and approximately 114 employees
who are expected to transfer from Dow to Trinseo.
“This acquisition demonstrates our commitment to our customers, as it
will allow us to extend the range of products we can produce,” said
Hayati Yarkadas, Senior Vice President and Business President,
Performance Materials. “Customers will have access to a broader offering
in Trinseo’s portfolio of Latex Binders products. The Rheinmunster site
is well situated for future expansion, as it is already the home to our
Global Research and Development center for Latex Binders, and is
geographically central to serve many of our European customers.”
The acquisition adds to Trinseo’s grid of production facilities across
Europe – including an existing Trinseo latex production plant in
Rheinmunster, Germany, as well as operations in Hamina, Finland;
Norrkoping, Sweden; and Terneuzen, The Netherlands. Together this grid
of Latex Binders production facilities allows Trinseo to supply
customers all across Europe, the Middle East and northern Africa.
About Trinseo
Trinseo (NYSE:TSE) is a global materials solutions provider and
manufacturer of plastics, latex binders, and synthetic rubber. We are
focused on delivering innovative and sustainable solutions to help our
customers create products that touch lives every day — products that are
intrinsic to how we live our lives — across a wide range of end-markets,
including automotive, consumer electronics, appliances, medical devices,
lighting, electrical, carpet, paper and board, building and
construction, and tires. Trinseo had approximately $4.6 billion in net
sales in 2018, with 16 manufacturing sites around the world, and
approximately 2,500 employees. For more information visit www.trinseo.com.
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to differ materially from results expressed or implied by this press
release. As a result of the foregoing considerations, you are cautioned
not to place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. The Company undertakes
no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.
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