Coatings World - May 2012

Central and Eastern Europe, and South Africa, both companies explored opportunities to grow the scope of their distribution relationship even further.

Bühler signs agreement to
acquire Leybold Optics

The Bühler Technology Group has reached an agreement with EQT III on the 100 percent acquisition of Leybold Optics, providers of production systems for vacuum deposition of functional layers for a wide range of applications.

Leybold’s optics unit is a supplier to manufacturers in the optics, automotive, electronics and packaging industries. It holds a strong position in the fields of process engineering and automation, especially sputtering technology. The glass and solar unit supplies coating systems for large-size substrates to the photovoltaics, glass and display industries.

Leybold Optics employs approximately 600 people at its headquarters in Alzenau, Germany, and at other development and production sites in Germany, the United States and China. In

2011, the company generated sales of moer than €200 million. The seller EQT is a group of private equity funds that invests in North and East Europe, Asia and the United States. The selling price was not revealed.

For Bühler, the acquisition marks a step toward the expansion of its advanced materials division in the area of equipment for manufacturing of functional layers. The company said the new acquisition supplements its existing grinding and dispersion business unit (systems for preparing printing inks, electronic materials and fine chemicals) and nanotechnology unit (processing of nanoparticles) in an ideal manner in terms of technology and market access. Leybold Optics will be integrated in the advanced materials division as a new business unit and retain its existing management.

Huber acquires Almatis’
specialty hydrate business
Huber Specialty Hydrates, LLC, a sub-
sidiary of J.M. Huber Corporation has ac-
quired the specialty hydrate flame
retardant business of Almatis, Inc. located
in Bauxite, Ark., United States. The acqui-
sition includes the Bauxite specialty hy-
drate manufacturing operation and all
product grades under the Hydral and
SpaceRite brands.

Dover’s Pump Solutions Group to acquire the Maag Group Pump Solutions Group (PSG), a business unit within the Engineered Systems segment of Dover Corporation, has agreed to acquire the Maag Group headquartered in Zurich, Switzerland. The acquisition includes Maag Pump Systems, Automatik Pelletizing Systems and Maag Filtration Systems. The Maag Group will operate as a business unit within PSG. Maag posted 2011 revenue of approximately $170 million. CW

Dow to construct a world-scale ethylene
production plant in Texas

The Dow Chemical Company will construct a new world-scale ethylene production plant at Dow Texas Operations in Freeport, Texas, as part of Dow's plan to further connect its U.S. operations with cost-advantaged feedstocks available from increasing supplies of U.S. shale gas.

The new ethylene production facility at Dow Texas Operations will employ up to 2,000 workers at its construction peak. Over the next five to seven years, Dow estimates that this project, together with all other planned projects announced as part of the company's comprehensive U.S. investment plan, will employ up to 4,800 workers during peak construction and support over 35,000 jobs in the broader U.S. economy.

"For the first time in over a decade, U.S. natural gas prices are affordable and relatively stable, attracting new industry investments and growth and putting us on the threshold of an American manufacturing resurgence," said Andrew Liveris, Dow chairman and chief executive. "Dow is proud to have been among the first manufacturing companies to declare a comprehensive plan to take advantage of these favorable market dynamics, further enhancing our footprint in the Americas and the profitability of our global businesses while supporting economic revitalization in the communities in which we operate.

Constructing this new ethylene cracker at Dow Texas Operations will create a long-term advantage for our downstream businesses and for our company as a whole, and the benefits will accrue not only to Dow but to the state and national economy."

This new plant will expand access to low-cost natural gas-based feedstocks, which are used in the production of Dow products in over a dozen consumer markets.

"The outlook for advantaged U.S. natural gas was a significant factor in Dow's decision to invest $4 billion to grow our overall ethylene and propylene production capabilities in the U.S. Gulf Coast region," said Jim Fitterling, Dow executive vice president and president of feedstocks and energy and corporate development."Today, 70 percent of the company's global ethylene assets are in regions with cost advantaged feedstocks, and we've seen the benefits this advantage provides given oil-based naphtha margin pressure in Europe and Asia. This plan represents a game-changing move to strengthen the competitiveness of our high-margin, high-growth derivatives businesses as we continue to capture growth in the Americas."

Dow Texas Operations in Freeport is Dow's largest integrated manufacturing site worldwide and the largest single-company chemical complex in North America. With 4,200 employees and 3,000 contractors on site daily, Dow Texas Operations currently manufactures 44 percent of Dow products sold in the United States and more than 20 percent of Dow products sold globally.