The New York Stock Exchange (NYSE) listed, Huntsman Corporation has acquired the Ankleshwar-based chemicals maker, Laffans Petrochemicals Ltd. The acquisition makes Laffans' chemicals business an integral part of Huntsman Performance Products, making it the first dedicated production plant for the company in India.
The acquisition will give the ownership of Laffans' 60kt ethylene oxide derivatives facility to the Huntsman Performance Products. According to the top company officials the acquisition would help the business meet demand for specialty intermediates as interest had intensified across Asia.
The deal comes less than two years after Huntsman signed a collaboration agreement with Laffans to share know-how, expertise and resources in the development and production of specialty chemicals, including glycol ethers, nonionic surfactants and amines. Neither of the companies revealed the financial details of the deal.
Huntsman has achieved revenues worth USD 9.2 billion in 2010, of which approximately three per cent came from India. In 2010 Laffans had revenues in excess of $50 million.
The news of the Laffans acquisition follows another recent Asian announcement from Huntsman Performance Products outlining a $70 million investment in a capacity expansion program at its polyetheramine plant in Singapore, a statement from Huntsman said.
Laffans, listed on the Bombay Stock Exchange (BSE), employs around 150 people in Ankleshwar plant, while around twenty people were employed at the commercial office in Mumbai and regional sales sites in Ahmedabad, Kolkatta and New Delhi. They will also join Huntsman.
