Safic-Alcan expands US footprint with ChemSpec acquisition

By Simon Pitman contact

- Last updated on GMT

Safic-Alcan expands US footprint with ChemSpec acquisition

Related tags: North america, United states

France-based speciality chemicals provider Safic-Alcan has acquired a majority stake in Ohio-based ChemSpec, a deal that will also give it a footing in the China market.

ChemSpec is a US distributor specializing in rubber and adhesives and is also a recognized player in the cosmetics and personal care field.

Safic-Alcan has bought a 75% stake in the US business for an undisclosed sum, a deal that also give it access to ChemSpec’s sourcing subsidiaries in China.

North American ambitions

Safic-Alcan had wanted to expand its distribution footprint in the North American region, and this acquisition fulfills that requirement, lining the company up for further expansion in the region.

“This transaction is in line with the strategic vision of the Group to expand geographically in North America while developing business on its own without any restriction",​ stated Martial Lecat, CEO of Safic-Alcan.

ChemSpec is a relatively new business, having been founded in 2003 by Dave Moreland, who will remain in place as the president of the business as well as a minority shareholder in the future business.

Deal taps into global distribution opportunities

Moreland stated in a press communication accompanying the announcement that his business had been developed off the back of partnerships with many customers and a dedicated staff, underlining that the deal had been brokered because ChemSpec shares the same values as Safic-Alcan.

ChemSpec has a portfolio of 190 active customers and a projected revenue of $41m in 2015, a turnover that will be accretive to Safic-Alcan in its next financial year.

In particular, the recent growth of the ChemSpec business has benefitted from an increased footprint with bigger businesses in the US, as well as increased trade through subsidiaries in the China market.

“ChemSpec will be used to support the development of cosmetics activity in North America due to be launched shortly. Extension of product range to coatings, plastics and active ingredients for pharmacy will also be planified at a later stage”,​ said Lecat.

Related topics: Business & Financial

Related news

Follow us

Featured Events

View more

Products

View more

Webinars