Takeover of BASF's global pigments business is to expand DIC's portfolio as a global manufacturer of pigments, including those for electronic displays, cosmetics, coatings, plastics, inks and specialty applications.
German chemicals giant BASF will sell its global pigments business to Japanese fine chemical company DIC for €1.15bn on a cash-free, debt-free basis. The transaction is expected to close in the fourth quarter of 2020 and is subject to the approval of the relevant competition authorities.
With a staff of 2,600, BASF's Colors and Effects business generated sales of around €1bn in 2018. The pigments are used, among others, in the packaging and printing industries as well as in pulp and paper production.
According to BASF, DIS has ambitious growth plans and and has announced to further develop the pigments business.
DIC plans to increase its sales by 25 per cent to €8bn until 2025 and values the acquisition of BASF's Colors and Effects business as an important strategic step.
This article is part of our coverage on raw materials and consumables for pulp and paper applications.
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