(RTTNews.com) – Chemical distributor Brenntag AG Thursday announced an expansion of its lubricants business in North America by signing agreements to acquire two leading distributors: J.A.M. Distributing Company, LLC, and related entities, headquartered in Houston, Texas, as well as G.H. Berlin-Windward, headquartered in Manchester, New Hampshire. The investment for both acquisitions totals $440 million.
Both companies offer integrated product and service solutions focused on lubricants servicing to industrial, commercial, automotive, and marine end markets in the Gulf Coast, Texas and the northeast United States, respectively.
Brenntag said both acquisitions are an investment in rebalancing its industry mix in North America and complement the existing business in the less volatile lubricants market. This also represents a review and shift to counteract the structural change in oil & gas earnings in North America.
The combined companies are expected to contribute sales of approximately $780 million in financial year 2016.
Gross profit for 2016 is expected to amount to $127 million with an expected EBITDA of about $50 million. The closing of the transactions will occur in the course of the next weeks.
During a European Industry Summit held on the site of BASF in Antwerp, leaders from basic industry sectors, representing 7.8 million workers in Europe, joined forces with European trade unions and European leaders to address pressing concerns regarding Europe’s industrial landscape.
The use of blue or low-carbon hydrogen, made from natural gas with carbon capture and storage (CCS), could increase near-term global warming by 50% compared with burning fossil fuels directly for energy if emissions are not properly managed, according to a new study by NGO the US Environmental Defense Fund (EDF) and the University of Arizona.
In a move to improve the supply of renewable hydrogen and thus reduce dependence on natural gas and contribute to achieving the objectives of the European Green Deal and the REPowerEU plan, the EU Commission has approved a third Important project of common European interest (IPCEI) to support hydrogen infrastructure.