Nalco to concentrate on core business
The Lubrizol Corporation has announced the acquisition of the Nalco Performance Products Group (PPG) for $166m. PPG supplies value-added speciality polymers and formulation additives marketed to the global personal care and household care industries. Lubrizol says the acquisition, structured as an asset sale, will expand the strategic portfolio of Lubrizol's Noveon Consumer Specialties Home and Personal Care product line.
"The joining of our two personal care product lines creates a portfolio of industry leading technologies that will help make our combined customers more successful through expanded access to innovative ingredients, formulations and applications knowledge," says Eric Schnur, president of Lubrizol Advanced Materials. "This is another example of how the company continues to invest in our personal and home care business, increasing our product innovation capabilities, our global infrastructure and our talent base."
Nalco has decided to move out of the personal care and household care business to focus on its core sectors. "Our personal care business is more product oriented than service oriented and not a strategic fit with our emphasis on providing sustainability services for industrial water, energy and air applications," says Nalco chairman and ceo J Erik Fyrwald. "Lubrizol is a well respected industry leader with a strong commitment to the personal care industry, which is more of an advantage for that business."
The deal includes all Nalco personal care dedicated technology, intellectual property, trade names, customer lists and relationships, and base business, as well as royalty-free access to the use of technology and intellectual property currently shared with other Nalco businesses. Lubrizol says it will be taking on approximately 15 full-time employees who will move across over the next six months.
The acquired brands will retain their names and will be Nalco be unified under the Noveon Consumer Specialties line. These include Merquat conditioning polymers, Sensomer naturally derived conditioning polymers, Fixomer styling polymers, Solamer UV absorbers and Merguard preservatives.