Sun Chemical and its parent company, DIC, have reached a definitive agreement to purchase Benda-Lutz Werke GmbH, a manufacturer of metallic effect products based in Austria.
The acquisition would allow Sun Chemical and DIC to purchase 100 percent of the shares, assets and business from Benda-Lutz and would expand its product portfolio in metallic effects. With the acquisition, Sun Chemical would add production facilities in Austria, Poland, Russia and the United States to accompany its aluminum pigment manufacturing site in China, which would form the basis of a new global Metallics Business Unit as part of Sun Chemical's Performance Pigments Division.
"This acquisition of Benda-Lutz will enable Sun Chemical to further expand our metallic effects offerings to our core coatings, plastics and graphic arts markets, while accelerating growth in future strategic areas such as specialties, cosmetics and electronics," said Myron Petruch, president of Sun Chemical Performance Pigments and Electronic Materials. "Benda-Lutz has a reputation for its innovation in product and process technology, and for providing outstanding quality and service. We believe that this acquisition will enhance the service to our global customer base and increase our global footprint in pigments and effects."
"As a 102-year-old family business, Benda-Lutz has rapidly grown over the last 25 years from a European to a global provider, and we look forward to leveraging Sun Chemical and DIC's capabilities to grow Benda-Lutz's unique products and technologies in the marketplace," said Martin Lutz, managing director of Benda-Lutz Werke.
Sun Chemical and Benda-Lutz expect to close the acquisition in the third quarter of 2012. Terms of the deal were not disclosed.