Westlake Chemical Corporation recently announced entering a definitive agreement alongside Hexion Inc. for acquiring Hexion’s global epoxy business worth approximately $1.2 billion. Hexion is based in Rotterdam, The Netherlands, and, is an industry leader for manufacturing and developing specialty resins, coatings, and composites for a variety of industries.
Westlake is a global manufacturer and supplier of resources and innovative merchandise that enhances life every day. The firm is headquartered in Ohio, offering the manufacturing blocks for vital solutions — from building merchandising and infrastructure materials to packaging and healthcare merchandize, to automotive and consumer goods
The industries comprise higher-growth and sustainability-oriented end-uses like wind turbine blades and lightweight automotive structural components. Hexion’s epoxy trade had approximate net sales worth $1.5 billion around the twelve months ending September 30, 2021. Along with the deal, that is anticipated to be accomplished within the first half of 2022 with proper closing conditions.
The firm is functional globally across three continents with eight manufacturing facilities and five R&D labs. Westlake is anticipating for expansion of its integrated business via an additional downstream portfolio comprising of coatings and composite merchandise offered by the firm with its prominent chloro-vinyl business.
Statement from Westlake President and CEO Albert Chao
Westlake President and CEO, Albert Chao, stated, “Light-weighting is a critical feature for the manufacture of structural components for automobiles and for renewable energy, particularly the composite blades used by wind turbines, and epoxies are key ingredients for these sustainable products.”
He also added: “The industries served by Hexion Epoxy are very attractive to Westlake and the business is expected to be a synergistic addition to Westlake’s existing businesses. We look forward to welcoming the Hexion epoxy employees to the Westlake family and realizing the tremendous opportunities to grow the combined businesses.” The fully-integrated business comprises upstream base epoxy resins and intermediates presented as liquid or solid epoxy resins, as well downstream specialty epoxy resins utilized in coatings and composites.