Acrylic sheet leader Röhm has agreed to acquire the Functional Forms business of Sabic, subject to customary consultation with the respective works councils and approval of the antitrust authorities. Röhm thereby will add polycarbonate (PC) sheets and films to its existing range of acrylic (PMMA) sheets and films, further expanding its position as a value-added partner for its customers across a wide range of applications.
“We are very excited to have found a strong partner with whom we can grow together,” explains Röhm CEO Michael Pack. “By adding the Polycarbonate Resin extrusion business to our portfolio, we will sustainably strengthen our competitiveness in our sheets and films business. With the combined competencies — in sales and in the development of materials, products, and applications — we will become a better business partner for our customers.”
Ronald Ayles, Managing Partner at Röhm’s owner Advent International, adds: “This is a unique opportunity for Röhm to build a global leader in this attractive segment and we are very happy to be able to back our portfolio company in executing this transformative acquisition.”
Image courtesy of odelo
|Röhm’s acquisition of the Sabic PC film and sheet business will strengthen the company’s footprint in transportation applications such as automotive and aerospace.|
The Functional Forms business is a leading global manufacturer offering a broad portfolio of PC film and sheet products, predominantly marketed through the globally recognized Lexan brand. Functional Forms has an extensive global presence with about 700 employees, operations in 19 countries, and through various production sites strategically located across all continents.
The new combined business will have sales of more than €700 million, command a strong operational global footprint across 14 production sites, and benefit from its complementary activities in similar but distinct markets. Röhm and Sabic’s Functional Forms business both manufacture high-quality sheet and film products that are used across a variety of industries, ranging from building and construction, consumer electronics, and medical to aviation.
The acquisition is a key cornerstone of Röhm’s strategy to develop its transparent semi-finished products business into a leading global multi-polymer company. The strong Lexan brand is an ideal complement to the acrylic glass brand Plexiglas (marketed in the Americas under the registered trademark Acrylite).
Consultation with applicable works councils and unions in Europe is expected to be finalized in the coming months. Subject to regulatory approvals, and completion of the carve-out of the business from the rest of Sabic’s operations, the transaction is expected to close in the first half of 2024.