Japan’s Mitsubishi Chemical Corporation (MCC) plans to require the remaining shares in The Nippon Synthetic Chemical Industry Co. (Nippon Gohsei) that it does not already own. MCC already owns 51.49% of the company. MCC will also merge with acrylic resin, carbon fiber and impact modifier supplier Mitsubishi Rayon, and plastic packaging and agricultural film converter Mitsubishi Plastics in April 2017.

Among the products supplied by Nippon Gohsei are Nichigo G-Polymer, a butenediol vinylalcohol (BVOH) copolymer whose applications include gas barrier packaging materials. The company also supplies polyvinyl alcohol (PVOH) film for use in liquid crystal display polarizers, and Soarnol ethylene-vinyl alcohol (EVOH) copolymer barrier resin for use in food packaging film, automotive gasoline tanks and floor heating pipes.

Nippon Gohsei also suppliers water soluble film made from PVOH under the Hi-selon brand for packaging of agricultural chemicals and medicines, among other applications. Its Coponyl brand films made from acrylic acid ester copolymer resin are used in products such as label seals, double-sided tape, and protective films.

Nippon Gohsei possesses a relatively high proportion of overseas sales for a Japanese concern; accounting for 58% of overall sales. MCC’s investment in the firm should free up funding for capital and R&D expenditure, particularly directed at the liquid crystal displays and organic EL display markets. Resources will also be poured into Soarnol barrier resin, Nichigo G-Polymer, Coponyl label resin, and specialty PVOHs.