SONGWON Industrial Group acquires the Specialty Chemicals Division of SeQuent Scientific Limited
Publishing date: 24.04.2014
SONGWON Industrial Group and SeQuent Scientific Limited have signed an agreement whereby SONGWON will acquire SeQuent's specialty chemicals business. The acquisition includes SeQuent's entire polymer stabilizer business and one production site in Panoli, Gujarat, together with the local R&D team. The parties expect the transaction to be closed in Q3, 2014, subject to few customary closing conditions.
Financial details of the transactions were not disclosed.
Jongho Park, Chairman, CEO and Head of the SONGWON Industrial Group Executive Committee, commented: “This acquisition is another milestone in SONGWON’s commitment to be a reliable partner to the polymer industry, strengthening our position as a leading supplier of polymer stabilizers in one of the fastest growing polymer markets. The local manufacturing presence will support SONGWON’s ambition to build a leading position in India while serving the specific needs of the Indian market. The production site in Panoli gives SONGWON access to a state of the art manufacturing facility to produce high value-added polymer stabilizers such as SONGNOX® PEPQ and other specialty chemicals. SONGWON is committed to invest in Panoli to develop the full potential of the site as part of its global manufacturing footprint. Besides serving the domestic market SONGWON will also export these products to its global customer base. Next to the production assets SONGWON is also excited to leverage the extensive experience and high level of competence of the local R&D team.”
Manish Gupta, CEO of SeQuent Scientific Limited, commented: “This is a major step towards steering SeQuent to a path of creating value for its various stake-holders. The speciality chemicals business while profitable, had become non-core in SeQuent’s stated vision to become a leading player in global veterinary business. The proceeds will be utilized to pare down debt and also provide growth capital in expanding the strategic intent of SeQuent.”