By: ICN Bureau
Last updated : March 06, 2018 8:18 pm
Rhodia announces the acquisition of the new guar derivatives production unit belonging to the Suzhou HiPro Polymers company, based at Zhangjiagang in China (Jiangsu Province). This Chinese unit will complement Rhodia's existing global guar derivati
Rhodia announces the acquisition of the new guar derivatives production unit belonging to the Suzhou HiPro Polymers company, based at Zhangjiagang in China (Jiangsu Province). This Chinese unit will complement Rhodia?s existing global guar derivatives manufacturing footprint with production units located in North America (USA), in Europe (France) and in Asia-Pacific (India). This acquisition will enable Rhodia to meet the fast-growing demand for guar?based products in Asia, particularly from the personal care market.
The parties have agreed not to disclose financial details of the acquisition and the transaction is not material at the Group level. The completion of the transaction is subject to various customary closing conditions, expected to be finalized in the first quarter of 2011.
In parallel, Rhodia also is investing in its North American facility in Texas (Vernon) to increase its guar derivatives production capacity and improve its competitiveness. This additional capacity will contribute to meeting increasing global customer demand, in particular in the oilfield and gas, and personal care markets.
"This targeted acquisition and the enhancement of our industrial assets will reinforce our worldwide leadership position in guar technology as a supplier of natural guar- ased materials used primarily in personal care, agrochemicals and oilfield applications,? commented Emmanuel Butstraen, President of Rhodia Novecare. "These two investments are completely in line with Rhodia Novecare?s strategy targeting organic as well as external growth. Following the recent acquisition of Feixiang Chemicals in surfactants, it also represents a further step in our drive to develop our presence in China and capture the fast-growing market in Asia-Pacific."
Rhodia?s guar-based range, mainly sold under the Jaguar? trade name, is derived from the vegetable and renewable fibers of guar beans. Natural guar-based products are used in the personal care market to provide hair and skin conditioning benefits in shampoo and cleansing products. They are also used as antidrift agents in Rhodia?s patented agrochemical applications and as a thickener in oil and gas extraction.