Westlake Chemical acquiring compounder Nakan for $265 million
Canadian Plastics
MaterialsFrance-based Nakan has eight production facilities worldwide and makes products used in the automotive, building and construction, and medical industries.
In a bid to expand its global footprint, petrochemical maker Westlake Chemical Corp. is buying global compounder Nakan private equity firm OpenGate Capital for US$265 million.
Headquartered in Reims, France, Nakan has eight production facilities in China, France, Germany, Italy, Japan, Mexico, Spain and Vietnam plus a research facility in France and an application laboratory in the U.S. It makes products used in the automotive, building and construction, and medical industries, among other applications, and it generated about US$300 million of revenue during the most recent 12-month period.
“The combination of Nakan with Westlake’s existing compounding business will present an excellent strategic fit,” Albert Chao, Westlake’s president and CEO, said in a statement. “It will allow us to expand our compounding business globally and add important specialty products and technology to our existing portfolio.”
The transaction is expected to close by early 2019.
Headquartered in Houston, Westlake is an international manufacturer and supplier of petrochemicals, polymers and building products. The company’s range of products includes: ethylene, polyethylene, styrene, propylene, chlor-alkali and derivative products, PVC suspension and specialty resins, PVC compounds, and PVC building products including siding, pipe, fittings and specialty components, windows, fence, deck and film.
