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MOSCOW (MRC) -- Ineos has declared force majeure on linear low density polyethylene (LLDPE) from its Grangemouth, UK, site, reported Plastemart.
The 320,000 tpa LLDPE plant is expected to be down for three weeks, alongside Ineos’ KG cracker that is being brought down this week because of a defect in its steam system.
As MRC wrote before, in October 2013, Ineos Industries Holdings agreed to acquire the Combined Heat and Power Plant (CHP) from Fortum, that serves the Grangemouth site, for GBP54 million. Grangemouth CHP, currently owned and operated by Fortum, is a natural gas-fired combined heat and power (CHP) plant located at the Grangemouth petrochemical site and refinery in Scotland.
Ineos Group Limited is a privately owned multinational chemicals company consisting of 15 standalone business units, headquartered in Rolle, Switzerland and with its registered office in Lyndhurst, United Kingdom. It is the fourth largest chemicals company in the world measured by revenues (after BASF, Dow Chemical and LyondellBasell) and the largest privately owned company in the United Kingdom.
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Ineos declares force majeure on LLDPE
Lubrizol to acquire Warwick Chemicals
MOSCOW (MRC) -- The Lubrizol Corporation, an innovative specialty chemical company, has signed an agreement to purchase Warwick Chemicals, a leading global developer, producer and supplier of stain removal technology with hygiene benefits, as per the company's press release.
This acquisition will complement Lubrizol's existing home care product line, strengthening its strategy of providing high-value technology solutions to its global customers.
Headquartered in Mostyn, North Wales, Warwick Chemicals has strong positions with global and regional detergent producers. Their products are an essential element in laundry detergent powders and automatic dishwashing products used across five continents and in more than 50 countries.
The transaction also includes Warwick Equest, a leading manufacturer of test swatches for fabric cleaning.
"Consistent with our long-term strategy and vision, we are always seeking to expand our portfolio with technologies that provide solutions, add value to our customer's products and deliver consumer benefits," said Rick Tolin, vice president and general manager of Lubrizol Personal and Home Care. "The acquisition of Warwick will complement Lubrizol's strong portfolio of rheology modifiers, functional polymers and surfactants, and will place us in an excellent position to offer integrated solutions to our customers."
Upon completion of the transaction, Warwick Chemicals will retain its company name and will become part of Lubrizol Advanced Materials, reporting into Lubrizol's personal and home care business. This transaction includes all intellectual property, trademarks and customer lists of Warwick Chemicals.
As MRC wrote previously, Lubrizol Corporation and Mitsui Chemicals, Inc. have recently announced that they have entered into an alliance agreement making Lubrizol the exclusive worldwide seller and marketer of the LUCANT(TM) polymer product range to the lubricant industry. This agreement will maximize each company's strengths and utilizes a joint development approach to new polymer R&D. LUCANT will be marketed as a viscosity modifier for lubricant applications as well as a synthetic base fluid component for lubricant formulations.
The Lubrizol Corporation, a Berkshire Hathaway company, is an innovative specialty chemical company that apart from its production develops and supplies technologies to customers in the global transportation, industrial and consumer markets. Lubrizol's advanced polymer technology delivers exceptional performance for the plumbing, fire sprinkler, industrial and other building and construction related applications. Lubrizol is providing innovative solutions for its customers high-performance application needs and remains committed to ongoing investment in its CPVC capabilities that support future growth.
MRC
Finnish packaging company Huhtamaki sells films business
DBAG will hold 17% in Huhtamaki Films and invest up to 12.5 million euros (USD15.6 million). The DBAG Fund VI and the company’s management will hold the remaining shares.
The film division, which is headquartered in Forchheim, Germany, saw net sales of more than 187 million euros (USD252.8 million) in 2013. In July, its Espoo, Finland-based parent company announced that it was looking to divest from the segment to focus more on food packaging.
DBAG was interested. The firm looks for well-positioned, mid-size companies and it sees Huhtamaki Films as a specialized enterprise that collaborates closely with customers to develop and produce plastics-based liners and films for hygiene and health products, the construction industry, and adhesive tapes and labels. Sales are pretty evenly divided among the three areas of application.
About 75% of Huhtamaki Films’ diverse product portfolio, which ranges from the outer layer of baby diapers to acoustic and thermal insulation to films for sealing sewage pipes, was developed to meet specific customer needs. The products are made with various degrees of siliconization, barrier properties to protect against light or fluid, and they can have tear-proof, biodegradable or antistatic qualities.
The films and liners are produced at four facilities that employ more than 600 people in Forchheim; Malvern, Pa.; Thailand and Brazil. The company has more than 1,000 staff in total.
Huhtamaki Films is the first company to be added to DBAG’s portfolio for the 2014-15 financial year. The management buyout offers a chance to expand the product offering, according to Peter Wahsner, executive vice president of Huhtamaki Films.
DBAG expects to complete two or three management buyouts and up to three expansion capital investments annually. Managed and advised assets currently add up to about 1.3 billion euros (USD1.6 billion). The Huhtamaki transaction, which is subject to regulatory clearance, is scheduled to be completed by the end of the year.
Huhtamaki announced in July that it would buy India's Positive Packaging for 247 million euros to increase its access to Indian and Middle Eastern markets.
As MRC wrote before, Huhtamaki, the Finnish-based consumer packaging specialist with worldwide operations, will build a moulded fibre egg packaging unit adjacent to its existing packaging facility in the greater Moscow area.
The new unit will concentrate on a narrow range of high-volume premium egg packaging, with complementary products sourced from other Huhtamaki units and technology licensees. This supply network enables the company to start sales and deliveries while the new unit is still under construction. The company already has a specialised fresh foods sales force in Russia.
Cracker planned to be restarted by Shell
MOSCOW (MRC) -- Shell is in plans to restart a naphtha cracker following maintenance turnaround, said Apic-online.
A source in Germany informed that the cracker is likely to be restarted in mid-December 2014. It was shut in mid-October 2014.
Located at Wesseling in Germany cracker, which has the capacity to produce 260,000 tonnes a year of ethylene, is shutting from 16 October, with a restart date around 5-6 December.
As MRC wrote before, Shell’s 115,000 tonnes/year BD unit in Moerdijk, the Netherlands is expected to resume production in the course of 2015. The unit has been down since early October because of a steam leak which affected the whole site.
Royal Dutch Shell plc is an Anglo-Dutch multinational oil and gas company headquartered in The Hague, Netherlands and with its registered office in London, United Kingdom. It is the biggest company in the world in terms of revenue and one of the six oil and gas "supermajors". Shell is vertically integrated and is active in every area of the oil and gas industry, including exploration and production, refining, distribution and marketing, petrochemicals, power generation and trading.
MRC
A. Schulman announces two restructuring actions in its Americas segment
MOSCOW (MRC) -- A. Schulman has announced that it is consolidating its North American production facilities, reported the company on its site.
As part of its ongoing review of its manufacturing footprint, the company will close its plant in Stryker, Ohio, in April 2015 and shift the plant's production to other facilities in North America.
The Stryker plant has been producing products primarily for markets in the United States and Mexico. It employs approximately 70 people and was part of A. Schulman's acquisition of the Ferro Specialty Plastics Business, which was completed in July 2014.
Additionally, the company announced that it is making SG&A reductions in North America as part of its ongoing effort to drive further synergies from recent acquisitions and eliminate duplicate functions. As a result of this effort, the company expects headcount reductions at various locations to total approximately 10 people.
The majority of the costs associated with the manufacturing consolidation, approximately USD2.5 million, are expected to be included in the company's financial results for the fiscal 2015 first quarter ending November 30, 2014. The annualized savings, approximately USD3 million, will be realized in the second half of fiscal 2015. A portion of these savings were part of the previously stated USD5.5 million in net synergies related to the acquisition of Ferro's Specialty Plastics business.
As MRC wrote previously, in June 2014, A. Schulman agreed to purchase a majority of the assets of the specialty plastics business of Ferro Corp. for USD91 million in cash. The purchase agreement includes four facilities located in the US as well as operations in Spain.
A. Schulman is a global plastics supplier, headquartered in Akron, Ohio, and a leading international supplier of high-performance plastic compounds and resins, which are used as raw materials in a variety of markets. A. Schulman has 33 manufacturing facilities globally. A. Schulman's fiscal third-quarter earnings fell 69% amid continued sluggishness in European markets and higher-than-expected costs in Latin America, where the company has been consolidating its Brazilian operations.
MRC