05 July 2010 10:11 [Source: ICIS news]
SINGAPORE (ICIS news)--Brenntag has acquired Thailand-based chemical distributor EAC Industrial Ingredients (EAC II) for €160m ($200m) in a bid to further grow its presence in Asia Pacific, the German chemical distributor said in a statement on Monday.
Brenntag bought 100% of the shares of EAC II from Denmark-listed The East Asiatic Company on a cash and debt-free basis, it said.
The deal was expected to be closed in July, according to the statement.
“With the acquisition, Brenntag gains access to an established distribution network, [which is] active in nine countries with exceptional growth potential,” the company said.
EAC II has local presences in Thailand, Vietnam, Indonesia, Philippines, Malaysia, Singapore, Cambodia, India and Bangladesh, it added.
“The acquisition of EAC Industrial Ingredients is a major step in the execution of Brenntag's growth strategy,” said Stephen Clark, CEO of Brenntag, in the statement.
Brenntag’s acquisition of EAC II would also add “significant market share and improve the firm’s market position in focused industries like food and beverage, coatings, personal care and pharmaceuticals”, Clark added.
EAC II was expected to generate sales of about €220m in 2010, Brenntag said.
($1 = €0.80)
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