Dow Chem, Reichhold form specialty latex joint venture

06 March 2001 15:54  [Source: ICIS news]

HOUSTON (CNI)--Dow Chemical and Reichhold said Tuesday they will combine the specialty latex businesses of Dow's Emulsion Polymers unit and Reichhold to form a joint venture, Dow Reichhold Specialty Latex, with Dow also acquiring Reichhold's carpet and paper latex businesses.

Terms of the transactions were not disclosed.

Jeffrey Welker, Reichhold's senior director of corporate planning, has been named president of the new joint venture.

The joint venture will focus primarily on butadiene-based latexes, the companies said, but also would have access to a broad range of latex chemistries. It is expected to employ 400.

Headquartered in Research Triangle Park, North Carolina, the joint venture will operate two latex production facilities located in Cheswold, Delaware and Kensington, Georgia.

Said Ted Cosse, global vice president of Dow Emulsion Polymers: "The formation of Dow Reichhold Specialty Latex will accelerate growth of our combined specialty latex businesses on a global scale. More importantly, the combined products, technologies and global presence of the new company will create a culture and a capability that is better able to meet the unique needs of specialty latex customers around the world.''

Dow and Reichhold said they expect to finalise the transactions and seek regulatory approvals "in the coming months."

Dow Chemical is a leading science and technology company based in Midland, Michigan, with annual sales of $28bn (Euro30.1bn). It serves customers in more than 160 countries and has 50 000 employees.

Reichhold, headquartered in Research Triangle Park, North Carolina, is a leading manufacturer of adhesives, coatings, performance resins and polyester resins, for the coatings, textile, construction, transportation, marine and graphic arts markets.

By: Mike Sheridan
+1 713 525 2653

< previous article(ICIS Podcast: Chemical News Central 2 November 2009)

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly