Axalta Coating Systems acquires United Paint automotive interior coatings business

MOSCOW (MRC) -- Axalta Coating Systems, a leading global supplier of liquid and powder coatings, has announced the acquisition of the automotive interior rigid thermoplastics coatings business of Michigan-based United Paint and Chemical Corporation, said the company on its site.

Production will temporarily remain at United Paint’s Southfield, Michigan facilities and will transfer to Axalta’s facilities in a phased manner. Financial terms of the transaction were not disclosed.

"United Paint’s interior rigid thermoplastics coating technology is a great fit for Axalta as we fulfill our commitment to provide our customers in the global vehicle manufacturing industry with a complete range of coating systems," said Steven R. Markevich, Axalta Executive Vice President and President of Transportation Coatings and Greater China.

"We believe Axalta is an excellent long-term home for our automotive interior rigid thermoplastics coatings business," said J. Geoff Piceu CEO of United Paint.

As MRC informed earlier, Axalta Coating Systems announced that it has entered into a definitive agreement to acquire Dura Coat Products, a prominent manufacturer of coatings for metal coil and related markets in North America.

Founded in 1953, United Paint is a formulator and manufacturer of highly innovative coatings for automotive interior applications with approvals of its products by 25 of the world’s leading vehicle manufacturers. Its coating systems enhance the durability and aesthetic qualities of components, such as instrument panels, consoles and appliques, inside many of the world’s most successful automotive programs. The divestiture of this segment of United’s business will allow it to continue a 63-year legacy of reinvestment in niche coating technologies.

Axalta is a leading global company focused solely on coatings and providing customers with innovative, colorful, beautiful and sustainable solutions. With 150 years of experience in the coatings industry, the approximately 12,800 people of Axalta continue to find ways to serve our more than 100,000 customers in 130 countries better every day with the finest coatings, application systems and technology.
MRC

MOSCOW (MRC) -- LG Chem Ltd., Korea's leading chemicals and battery maker, said Thursday its net profits soared 9.3 percent in the second quarter from a year earlier thanks to improved petrochemical margins amid low oil prices, said Koreanherald.

Net income came in at 386 billion won (USD338 million) on a consolidated basis in the April-June period, compared with a profit of 353 billion won a year earlier, the company said in a regulatory filing.

Operating income advanced 9.3 percent on-year to reach 616 billion won, while sales gained 2.8 percent on-year to 5.27 trillion won.

Shares of LG Chem were trading at 256,500 won on the Seoul bourse as of 9:33 a.m., up 0.2 percent from the previous session's close. The second-quarter earnings results were released after the market opened.

As MRC informed ealier, LG Chem has completed the acquisition of Dongbu Farm Hannong, the country’s largest agricultural products provider. Following a series of negotiations since September 2015, LG Chem has finally acquired 100% equity stake in Dongbu Farm Hannong’s shares worth USD426.49 million (KRW 515.20 billion).

LG Chem Ltd., often referred to as LG Chemical, is the largest Korean chemical company and is headquartered in Seoul, South Korea. According to ICIS report, it is 15th biggest chemical company in the world in 2011. It has eight domestic factories and global network of 29 business locations in 15 countries. LG Chem is a manufacturer, supplier, and exporter of petrochemical goods, IT&E Materials and Energy Solutions.

MRC

MOSCOW (MRC) - Imports of polyethylene (PE) into Ukraine increased to 128,000 tonnes in the first six months of 2016, up 33% compared to the same period of 2015. The greatest increase in demand accounted for high density polyethylene (HDPE) and linear low density polyethylene (LLDPE), according to MRC DataScope.

June PE imports into the country increased significantly to 21,300 tonnes, compared with 19,200 tonnes in May because of stronger supply of HDPE and low density polyethylene (LDPE). Total PE imports into Ukraine grew to 128,000 tonnes in January - June 2016, compared with 96,100 tonnes year on year.

Structure of PE imports over the reported period was as follows.

June imports of HDPE into the country increased to 10,500 tonnes, compared with 8,700 tonnes in May. Local companies increased the volume of purchases of film HDPE, with the main increase accounted for the supply of polyethylene from Russia and Uzbekistan. In general, HDPE imports into the country exceeded 62,500 tonnes in January - June of this year, compared with 41,600 tonnes in the same time a year earlier.

June imports of low density polyethylene (LDPE) into Ukraine increased to 5,100 tonnes, compared with 3,600 tonnes in May despite the limited export quotas from Russian and Belarusian producers. The shortage of LDPE at the main suppliers Ukrainian companies compensated by the purchases from Iranian manufacturers. Total LDPE imports into Ukraine were 31,500 tonnes in the first six months of the year, up by 3% year on year.

June imports of LLDPE into the Ukrainian market were about 4,300 tonnes, while a month earlier this figure was 5,500 tonnes. Local producers of stretch films decreased their procurement volumes. In general, January - June LLDPE imports into Ukraine increased to 28,100 tonnes compared with 19,800 tonnes year on year.

Imports of other types of polyethylene, including EVA for the period under review amounted to slightly more than 5,800 tonnes against 4,100 tonnes a year earlier.


MRC

MOSCOW (MRC) - Imports of polypropylene (PP) into Ukraine increased to about 57,600 tonnes in first six months of this year, up 36% year on year, compared to the same period of 2015. The greatest increase in imports occurred for propylene copolymers, according to MRC DataScope.

June imports of polypropylene into Ukraine actually remained at the level of May and amounted to slightly more than 9,200 tonnes, from 9,100 tonnes in May. In general, January - June PP imports into the country increased to 57,600 tonnes against 42,400 tonnes year on year.
The main increase in PP imports into the country occurred for extrusion propylene copolymers.

Structure of PP supplies over the reported period looked as follows.

June imports of homopolymer PP into the Ukrainian market increased to 7,400 tonnes, while a month earlier this figure was 6,800 tonnes.
Local companies increased the volume of purchases of film polypropylene. Ukraine's homopolymer PP imports increased to 44,700 tonnes in January-June 2016, against 33,000 tonnes year on year. The main increase accounted for for the supply of homopolymer PP raffia, which grew by 66%.

June imports of PP block copolymers into the country slightly were about 845 tonnes compared with 900 tonnes in May; Ukrainian companies decreased the procurement of all grades of PP block copolymers. Jan-June imports of PP block copolymers were about 5,500 tonnes, compared with 4,100 tonnes year on year.

June imports of PP random copolymers into Ukraine decreased to 773 tonnes, compared with 1,100 tonnes in May; local converters decreased their imports of film and pipe PP random copolymers. However, total imports of PP random copolymers exceeded 6,300 tonnes in January - June 2016, whereas a year earlier it was 4,200 tonnes, with the demand from the producers of pressure pipes increased by one and a half times.

Imports of other polymers of propylene for the period into the country were about 1,000 tonnes in the first six months of the year.


MRC

MOSCOW (MRC) -- Shareholders of Dow Chemical Co. and DuPont Co. approved the companies’ historic merger, clearing a hurdle for the deal to close this year and for a later split into three entities, said Bloomberg.

Majorities of both sets of stockholders approved the 50-50 combination of the two largest U.S. chemical makers, the companies said in a joint statement Wednesday. The USD59 billion all-stock transaction, a record for the industry, was announced Dec. 11.

DuPont Chairman and Chief Executive Officer Ed Breen will serve as CEO of DowDuPont Inc., the name of the combined entity. His counterpart at Dow, Andrew Liveris, will be chairman. Both companies are eliminating thousands of jobs as they cut billions of dollars in expenses, with another USD3 billion of cost savings promised after the deal closes. DowDuPont is supposed to split into three by the end of 2018, creating separate companies focused on agriculture, specialty products and materials science.

The companies’ next hurdle is winning antitrust clearance. The U.S. Justice Department in February issued a second request for information on the combination, launching an in-depth probe. Dow and DuPont notified China’s competition agency of the deal in May and they filed with the European Commission last month.

MRC