Specialty chemicals company LANXESS, which has its Americas headquarters in Pittsburgh, has acquired Itibanyl Produtos Especiais Ltda. The family-run company with headquarters in Jarinu, São Paulo, is one of Brazil’s leading biocide manufacturers and generated sales in the lower double-digit million euro range in 2018.
Both companies signed an agreement and have agreed not to disclose the purchase price. The transaction is still subject to the approval of the responsible antitrust authorities and is expected to be completed in the first quarter of 2020.
With the acquisition of IPEL in Brazil, the LANXESS Material Protection Products business unit is reinforcing its global presence and is now in a position to serve its South American customers from a local production facility. The business unit was previously represented with production facilities in Europe, the U.S. and Asia.
In addition to around 100 employees and the production facility, LANXESS is also taking over the Brazilian company’s laboratory facilities. With the acquisition, the specialty chemical company will also gain access to strategic intermediate products.
IPEL generates the majority of its sales with biocides and specialty chemicals for the paint and coating industry. Biocides protect materials from infestation, destruction and decay caused by microorganisms. The product portfolio also includes preservatives and fungicides for process control in water treatment as well as active ingredients for disinfection and cleaning agents.
The LANXESS Material Protection Products business unit employs around 540 employees and has production sites in Krefeld-Uerdingen and Dormagen (Germany), Sudbury (Great Britain), Pittsburgh and Memphis, Jhagadia (India), Changzhou (China) and Singapore.