MOSCOW (MRC) -- Italian materials firm Radici Group will greatly expand its nylon resin business by acquiring Invista’s Engineering Polymer Solutions business, said Plasticsnews.
Bergamo, Italy-based Radici has signed a letter of intent to acquire the business, officials said in a Sept. 14 news release. No purchase price was disclosed for the deal, which is expected to close in 60 days. The move will significantly increase Radici’s production capacity, with the addition of Invista’s plants in Chattanooga, Tenn., and Born, the Netherlands. The Chattanooga plant will be closed, with production moving to existing Radici sites in North America.
Radici has previously stated its growth strategy included acquiring market share in the nylon business. In August 2015, the firm acquired the nylon business of Mexican firm Resinas TB SA de CV. Wichita, Kan.-based Invista – a unit of conglomerate Koch Industries - makes nylon 6/6 under the Torzen brand name. The business accounts for 16 percent of the global market for that material. Radici’s Radilon brand includes nylon 6, 6/6 and 6/12.
OEM approvals will be valid and usable worldwide in industries including automotive, electrical/electronics, industrial and consumer goods, Radici officials added. In addition to nylon, Radici’s Performance Plastics business also supplies polybutylene terephthalate, thermoplastic elastomers and acetal. Radici Group, which also produces chemicals, synthetic fibers and nonwovens, generated 1 billion euros (USD1.12 billion) of sales in 2015.
Invista entered the nylon 6/6 market in 2009 after the expiration of a non-compete agreement with DuPont Co. Koch had bought DuPont’s fibers business in 2004 and combined it with a PET business it also owned at the time to create Invista.
As MRC informed earlier, in April 2016, Invista started up a new 215,000-t/y hexamethylene diamine (HMD) facility at the Shanghai Chemical Industry Park in China.
Invista is one of the world's largest integrated producers of polymers and fibers, primarily for nylon, spandex and polyester applications. With a business presence in over 20 countries, Invista's global businesses deliver exceptional value for their customers through technology innovations, market insights and a powerful portfolio of global trademarks.
MRC