Elkem has acquired a new plant near Lyon, France, custom-designed for producing highly specialized organo-functional silicones (OFS) as the Norwegian company accelerates its growth and specialization.
The purchase price is in the low double-digit millions of euros, and production is expected by the end of the year.
‘With this acquisition, Elkem continues to deliver on our growth and specialization strategy. This new plant will enable us to more quickly extend our offerings within advanced high-value products for attractive specialty markets, further strengthening our position as one of the world’s leaders in fully integrated silicone manufacturing,’ said Michael Koenig, CEO of Elkem.
Organo-functional silicones combine the performance of silicones with the functionality, compatibility, and potential reactivity of organic materials achieved with advanced processing.
‘Elkem already has a broad global offering of advanced silicone solutions, ranging from commodities to specialties. We have recently complemented our portfolio of specialties with the acquisitions of Polysil and Basel Chemie. The acquisition of this new OFS plant provides the technology and capacity to further accelerate our growth, particularly within release coatings, personal care, and other specialty markets. It is a good example of how we position for the future, in a complex market environment,’ added Frederic Jacquin, SVP Elkem Silicones.
The OFS plant is located near Elkem Silicones’ existing activities south of Lyon, including both the upstream plant in Roussillon and the production site and R&D center in Saint-Fons.
‘This acquisition reinforces Elkem’s solid footprint in France. The new production capacity is in line with our strong commitment to support our development in the Auvergne-Rhône-Alpes region,’ concluded Bertrand Mollet, EMEA region director at Elkem Silicones.