Rhein Chemie buys Wacker’s tyre release agents business

Rhein Chemie Rheinau GmbH has opted to expand its product range for into tyre release agents by acquiring this part of Wacker Chemie AG’s operations on 8 July 2011. The two parties agreed to keep the purchase price confidential. According to the companies, Wacker’s tyre release agents business achieved sales amounting to a mid single-digit million euro amount in 2010. The acquisition reportedly makes Rhein Chemie the world leading supplier of tyre release agents. Rhein Chemie is itself a wholly-owned subsidiary of Lanxess from Leverkusen, Germany.

A statement published following the purchase explained that the rights to the corresponding product formulations as well as the existing customer contracts and business inventories are included in the transaction. In addition, Wacker Chemie will supply Rhein Chemie with the required silicon-based raw materials. However, employees will not transfer to Rhein Chemie.

“Acquiring Wacker Chemie’s tyre release agents business strengthens our already good position in the tire industry and makes us the world’s leading supplier of tire release agents” said Dr. Anno Borkowsky, CEO of Rhein Chemie.

Rhein Chemie reported that the market for these products will grow worldwide by roughly 5 per cent per year in the medium term. The acquisition is also expected to open up new business opportunities for Rhein Chemie, especially in the US. The majority of the acquired products are aqueous, solvent-free dispersions based on silicone. They are to be marketed by Rhein Chemie under the name Rhenodiv.

“We now supply tyre manufacturers with an even more diverse range of solutions, thereby reinforcing our position in the growing market segments semi-permanent release agents and bladder coatings,” said Frank Lueckgen, executive vice president of Rhein Chemie’s Rubber Division.

The latest acquisition fits into a pattern of purchases in the release agent sector. At the beginning of the year, Rhein Chemie acquired the tyre release agent and bladder manufacturer Darmex S.A., Burzaco, Buenos Aires, Argentina. Some weeks ago, Rhein Chemie also took over the two product lines Vocol and Santoweb from Flexsys.

Tyre release agents support uniform vulcanization of the tyre in the press and ensure easy release of the finished tyre from the bladder and mould. The choice of release agent has an impact on the cost-efficiency of the production process, and on the quality and appearance of the finished tyre. Semi-permanent release agents are used by an increasing number of tyre manufacturers. They improve the cost-efficiency of tyre production, because a single coating is enough for several de-moulding operations.

Rhein Chemie develops, produces and sells additives, specialty chemicals and service products for the rubber, lubricant and plastics industries. In fiscal 2010 Rhein Chemie achieved sales of 283 million euros and has approximately 1,000 employees worldwide. The company is headquartered in Mannheim, Germany and has production facilities in Europe, Asia and North and South America.

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• Lanxess relocates Tokyo office staff

• Latest Rhein Chemie Acquisition a ‘Springboard’ for Further Investments