Swiss chemicals manufacturer Archroma has completed the acquisition of BASF’s textile chemical operations.
The acquisition strengthens Archroma’s position to supply chemicals and dyes to the global textile industry as well as complements Archroma’s product portfolio and presence with BASF’s Asia and other high-growth markets.
The acquired products and technologies include a range of printing, finishing and coating chemicals. The legal entity BASF Pakistan will be transferred to Archroma by August.
Around 225 employees globally, including approximately 175 in Asia, will also be moved to Archroma.
Archroma and BASF signed a definitive agreement for the transaction in October last year.
Archroma CEO Alexander Wessels said: “The textile industry is undergoing transformational change resulting from macro supply and demand shifts as well as a growing customer demand for sustainably-oriented solutions.
“The operational and intellectual synergies between BASF and Archroma will allow us to offer our customers the full breadth and depth of innovation, quality, reliability, expertise, and market coverage they need to prosper in these market conditions.”
The combined textiles businesses will be headquartered in Singapore.
Archroma has signed a senior secured credit agreement for $515m, to support the acquisition and refinance its existing debt.
Archroma, a portfolio company of US-based private investment firm SK Capital Partners, was formed with the textile specialties, paper solutions and emulsion products businesses of Clariant in 2013.