Braskem, the leading resin producer in theAmericas, announced the completion of its acquisition of the PolypropyleneBusiness from The Dow Chemical Company, an important milestone in the Company'sglobal expansion.
The transaction, announced on July 27, was approved by theEuropean Commission and the Federal Trade Commission and the Antitrust Divisionof the Justice Department of the United States of America.
The assets involved in the deal include twomanufacturing plants in the U.S. and two in Germany, with a total annualpolypropylene production capacity of 1.05 million tons. The two USmanufacturing plants located in Freeport, Texas and Seadrift, Texas will befully integrated into Braskem America, Inc. The two German plants located inWesseling and Schkopau will operate under Braskem Europe GmbH.
The deal will deliver approximately $140million in synergies through a more diversified portfolio, leveraged fixed costbase and working capital, logistics and supply optimization.
This acquisition brings a strong team that, combinedwith a worldwide polypropylene production capacity of 4 million tons per year,positions Braskem to provide a broader portfolio of products and services to itscustomers.
"Braskemhas a long term commitment to the polymers industry. We see enormous potentialfor growth and innovation in thermoplastics resins because of the endless usesin people's everyday lives," said Braskem's Executive Vice President of the International Business Unit, Luiz de Mendonca. "We are very excited to grow ourpartnership with our clients in North America and Europe."
Mark Nikolich, formerly VP of Commercial andSupply Chain for Braskem America, has been named CEO and General Manager ofBraskem Europe GmbH. Mr. Nikolich bringsto this role over twenty years of experience in polyolefins and chemicals.
Robert Nadin, formerly VP of Innovation and Technology for Braskem America, has been appointed VP of Commercial and SupplyChain for polypropylene in North America. Mr. Nadin has more than 25 years of industry experience in a variety of positions in research and development,business management, business development, and technology licensing.
Braskem solidifies its U.S. polypropylene leadership