Elementis, the global specialty chemicals group, has finalised its acquisition of UK-based Alchemy Ingredients Limited for an enterprise value of approximately $22 million on a cash-free, debt-free basis.

 

Alchemy, known for its innovative, sustainable rheology modifier ingredients, develops natural functional materials that replace synthetic raw materials in cosmetics and skincare products. Its technology focuses on oil gelling (Sucragel and Sapogel) and water gelling (Clearthix and Sclerothix), offering unique textures and sensory profiles for the personal care industry.

 

“Alchemy is a strong fit for Elementis. It brings exciting new products and technologies that are complementary to our portfolio, further enhancing our expertise in formulation solutions and rheology, and which are highly synergistic with our hectorite products,” Elementis said in a statement. 

 

“These will help to create new sensory profiles and textures to enhance the Group’s cosmetic and skincare product range. Elementis will enable Alchemy to build on its success to date by leveraging its global sales and distribution network alongside its complementary technology and application knowledge.”

 

Alchemy has a strong track record of growth, with FY25 revenue projected to exceed $6 million and attractive margins. The acquisition aligns with Elementis’ Elevate strategy, aimed at pursuing disciplined, high-quality bolt-on acquisitions to strengthen specialty additives capabilities and drive sustainable growth.

 

Luc van Ravenstein, CEO of Elementis, said: “We are delighted to announce the successful completion of this high quality bolt-on acquisition, which is right in our personal care sweet spot and strengthens our position in the growing natural skincare market. The business opens exciting opportunities to expand our skincare portfolio, where the trend toward natural ingredients and enhanced sensory benefits continues to accelerate. Leveraging our global sales and marketing footprint, we see significant potential to scale the business and deliver value.”

 

The enterprise value of the deal includes £1.5 million of contingent consideration and is subject to standard completion accounts.