DOMO Chemicals announced that an affiliate of Lone Star Fund XII, L.P. has agreed to acquire its Engineered Materials segment. The proposed transaction comprises the full scope of this business, including three European manufacturing sites located in Premnitz, Germany, Arco, Italy, and Gorzów, Poland. The transaction also includes certain support functions in Belgium, Germany, Spain, Poland and India, as well as the international operating entities in Haiyan, China, Mumbai, India, Seoul, South Korea, and Buford, United States. The agreement further covers sales and marketing functions in France, the application center in Lyon focused on materials engineering as well as end-application development and testing, industrial masterbatch activities, together with associated technical and administrative functions. As part of the agreement, Lone Star Funds is also acquiring the intellectual property portfolio of the DOMO EM business, including the Technyl brand, which comprises a portfolio of PA6 and PA66 polyamide compound solutions for the engineering plastics market, developed for more than 70 years.
DOMO Chemicals also noted that the Belle Étoile production assets are not included in the scope of the transaction. They remain subject to a separate legal process under the responsibility of court-appointed administrators.
Scope and significance of the transaction
The acquisition of DOMO's Engineered Materials business follows Lone Star's earlier purchase of RadiciGroup's High Performance Polymers and Specialty Chemicals business units. According to the announcement, this further strengthens the investor's position in the specialty polymers sector.
Based on the information provided, the future combined business is expected to benefit from a broad and complementary product portfolio, wider geographic reach, and enhanced capabilities to serve a diversified range of end markets. These include applications in automotive, construction, consumer goods, and industry.
Management and organizational continuity
According to the announcement, the DOMO EM leadership team will in due course report to Jochen Fabritius, appointed by Lone Star to lead the future organization. This is intended to ensure management oversight while preserving operational continuity across both organizations.
