BASF sells expanded polypropylene foam business
Canadian PlasticsAutomotive Materials
The business has been sold to Knauf Industries GmbH, a European manufacturer of EPP molded parts.
Chemical maker BASF has entered into an agreement to divest its Neopolen expanded polypropylene (EPP) business to Knauf Industries GmbH, a European manufacturer of EPP molded parts.
Neopolen enables the manufacturing of lightweight molded parts for the automotive industry, as well as for heating and air conditioning applications, BASF officials said in a news release.
The transaction includes, among other things, a production plant at the BASF site in Schwarzheide, Germany, along with the products, intellectual property, customer and supplier contracts, and trademark rights. About 40 employees at the site are affected. Pending potential approvals by relevant merger control authorities, closing of the transaction is expected by March 31, 2024.
“With Knauf Industries we have found an excellent partner who will strategically continue the Neopolen business,” said Mia Pettersson, head of the global specialty polymers business unit at BASF. “The future of the EPP business can best be secured by selling it to a company that offers synergies with other foams and a forward integration into component production. Under the ownership of Knauf Industries – a leading player in the foam industry – the Neopolen business will be well positioned to realize its full potential.”