30 March 2011 11:19 [Source: ICIS news]
NUREMBERG, Germany (ICIS)--Arkema’s revenue from paint and coating applications is expected to rise to €1.3bn ($1.8bn) in 2011, or about 18% of the company's total sales target of around €7.0bn, the French speciality chemicals company said on Wednesday.
Arkema's coatings revenue was at €150m in 2005. By 2010 sales from the company's coatings business had increased to €400m and now the group is focused on growing its product range for the paint and coating market further in 2011 through its major acquisitions, Arkema said.
In 2007, Arkema acquired Coatex, a manufacturer of rheology additives. In 2010 Arkema acquired acrylics and waterborne resins assets from Dow Chemical in the US, and in December 2010 it announced the purchase of Total's photocure and coatings resins businesses.“Our development investments combined with our targeted acquisitions have confirmed our commitment to the coating and paint market,” said Thierry Le Henaff, chairman and CEO of Arkema
He added that “2011 will be a pivotal year for Arkema. We will become one of the major suppliers to this market thanks to one of the most comprehensive international product and technology offerings”.
Speaking at the European Coatings Show in Nuremberg, Germany, Le Henaff added that the company is still on track to close the acquisition of Total's photocure and coatings resins businesses by the middle of 2011 and to fully integrate them into Arkema about one year after the deal's completion.
In early March, Arkema said it intends to become a leader in the coatings material market once it completes the acquisition of Total’s resins businesses.
"The current acquisition is the latest in a series of acquisitions over four years that will make Arkema a leading supplier serving paint and coating producers around the world," Le Henaff said.
He added that in 2011 Arkema will bring on stream a new polyvinylidene fluoride (PVDF) plant and a rheology additives plant (Coatex) at its Changshu site in ?xml:namespace>
In addition, Arkema is also planning to boost its presence in South America due to growing demand, particularly in Brazil, where the middle-class population is growing at around 15m people per year.
The global market for coatings is expected to be worth around $116bn by 2015.
“With an enhanced portfolio, 40 plants around the world, and 10 technical and application centres, Arkema in 2011 has all the necessary assets to serve the global coating and paint market,” Le Henaff said.
($1 = €0.71)
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