PPG to buy BASF’s N America coil coatings ops

25 September 2008 16:53  [Source: ICIS news]

TORONTO (ICIS news)--US chemicals and coatings producer PPG Industries has agreed to buy BASF's North American coil and extrusion coatings business for an undisclosed sum, it said on Thursday.

 

The business, with production at Decatur in Alabama, Belvidere in New Jersey and and Monterrey in Mexico, employs some 200 workers.

 

It serves customers in markets such as construction, appliances, transportation, heating, ventilation and air-conditioning, lighting fixture and the extrusion industries, PPG said.

 

PPG would acquire saleable BASF's inventory, customer list and book of business as well as various patents and trade names associated with acquired products, it said.

 

BASF would continue to supply products from Decatur, Belvidere and Monterrey under manufacturing supply agreements for 11-to-12 months, after which BASF would close the Decatur facility and the Belvidere facility's Plastisol line, PPG said.

 

Production from the Decatur and Belvidere operations would then be transferred to PPG's plant in Springdale, Pennsylvania, where it planned to spend some $8m (€5.4m) to install equipment needed for the consolidation, it said.

 

"PPG is intent on retaining the technical and sales capabilities of BASF," said William Wulfsohn, PPG senior vice-president for coatings.

 

"As a result, the combination of BASF and PPG will better enable us to provide innovative technologies, high-quality products and superior customer service," he said.

 

($1 = €0.68)

 

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By: Stefan Baumgarten
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