W. R. Grace & Co. (NYSE:GRA) today completed the $416 million acquisition of the Polyolefin Catalysts business of Albemarle Corporation (NYSE:ALB).
The acquired business primarily develops and manufactures proprietary and custom-manufactured single-site catalysts as well as metallocenes and activators used in the production of plastic resins. The transaction also includes a comprehensive series of highly optimized Ziegler-Natta catalysts for polyethylene production.
The acquisition includes production plants in Baton Rouge, LA and Yeosu, South Korea; R&D and pilot plant capabilities; and an extensive portfolio of intellectual property.
Over the last five years, Grace has invested well over $1 billion to create a leading position in polyolefin catalysts and process technology. The company now has the broadest portfolio of polyolefin catalyst technologies of any catalysts producer.
“This acquisition significantly enhances our position in the fastest growing polyethylene segment and fills out our polyolefin catalysts portfolio,” said Grace Chairman and Chief Executive Officer Fred Festa. “With the rising demand for sophisticated resins, Grace is committed to growing this business by investing in single-site catalysts technologies to fully support our global polyethylene manufacturing customers.”
“We are very pleased to welcome the approximately 175 employees, including commercial, R&D, and operating professionals, who run this business today,” said Al Beninati, President of Grace’s Specialty Catalysts business. “The combination of talent, technology, and manufacturing capabilities strengthens our team and aligns directly with our strategy to provide our customers the most advanced technologies in the market today.”
Grace addressed the financial impact of the acquisition during an investor call on Dec. 15, 2017, the transcript of which is available on the company’s website under, “Investors.”
Built on talent, technology, and trust, Grace is a leading global supplier of catalysts and engineered materials. The company’s two industry-leading business segments—Catalysts Technologies and Materials Technologies—provide innovative products, technologies, and services that enhance the products and processes of our customers around the world. With approximately 3,700 employees, Grace operates and/or sells to customers in over 60 countries. More information about Grace is available at grace.com.