Specialty chemicals company LANXESS has completed the acquisition of the microbial control business unit of the U.S. group International Flavors & Fragrances Inc. (IFF).

With the closing of the transaction which was announced in August 2021, LANXESS has become one of the world’s largest suppliers of microbial control products.

The specialty chemicals company is significantly increasing its portfolio of antimicrobial active ingredients and formulations for material protection, preservatives and disinfectants and is strengthening its global presence, especially in the United States.

LANXESS paid a preliminary purchase price of approximately USD 1.3 billion for the acquisition.

“With this acquisition we receive another major boost for our Consumer Protection segment. It will soon become our strongest segment and is thus an important engine on the way to make LANXESS even more stable and profitable,” said Matthias Zachert, Chairman of the Board of Management of LANXESS AG. “We are pleased to have more than 250 highly qualified new employees and are now focusing all our efforts on rapidly integrating the newly acquired business.”

With the closing of the transaction, LANXESS adds two production sites to its network in St. Charles, Louisiana, and Institute, West Virginia, both in the United States. The new business will be integrated into the Material Protection Products business unit of LANXESS.

“By combining LANXESS’ and the acquired businesses, we are now building a strong and broad product and technology platform for microbial control and biocides, from active ingredients to powerful formulations. This enables us to offer our customers additional application-oriented solutions and to strengthen our value chain,” said Michael Schaefer, Head of the Material Protection Products business unit. “The microbial control business also gives us access to new technologies and enhances our regulatory position through additional registrations.”

The acquisition brings strategic biocidal active substances, a large registration package and strong brands which are a perfect fit for the LANXESS microbial control portfolio.