Washington Penn buys specialty compounded PP business from ExxonMobil

By Frank Esposito
Senior Staff Reporter

Published: June 6, 2014 9:11 pm ET
Updated: June 6, 2014 9:25 pm ET

Image By: Washington Penn

Related to this story

Topics Materials, Mergers & Acquisitions, Materials Suppliers, Compounding
Companies & Associations ExxonMobil Chemical Co.

Polypropylene compounding leader Washington Penn Plastic Co. has grown even more in that market by acquiring the North American specialty compounded PP products business of ExxonMobil Chemical Co.

The deal follows ExxonMobil’s decision to stop producing those products in North America, officials with Washington, Pa.-based Washington Penn said in a June 6 news release. ExxonMobil customers impacted by the move now will transition to Washington Penn, they added.

“The product technologies are very complementary, and offer some exciting new opportunities to support the needs of our customers,” Washington Penn President Martin Devine said in the release.

In a June 6 e-mail, an ExxonMobil spokesman said that the firm had made those PP compounds at a plant in Baton Rouge, La. That plant had been operated for ExxonMobil by Chemtrusion Inc., a toll compounding firm based in Houston. Production there will stop by the end of 2014, the spokesman added.

No further details were included in the release, and officials with Washington Penn declined to comment on what facilities or equipment are included in the deal. Both Washington Penn and ExxonMobil rank among North America’s 30 largest compounders, according to Plastics News  estimates.

The deal is the second in two months for Washington Penn parent Audia International. On May 20, Audia — also based in Washington, Pa. — announced that it would spend more than $50 million to build a major plastic materials plant in Nobles, Georgia. A local media report said that the new plant will cover 240,000 square feet on a 25-acre lot.

Audia officials said the new Georgia plant will support the three U.S.-based materials companies that the firm owns — Washington Penn; Uniform Color Co., a color concentrates maker in Holland, Mich.; and Southern Polymer Inc., a resin distributor in Atlanta.

Audia employs more than 1,000 at 10 manufacturing sites worldwide, including six used by Washington Penn. Earlier this year, the firm bought a liquid masterbatch plant in France from BASF SE.


Comments

Washington Penn buys specialty compounded PP business from ExxonMobil

By Frank Esposito
Senior Staff Reporter

Published: June 6, 2014 9:11 pm ET
Updated: June 6, 2014 9:25 pm ET

Post Your Comments


Back to story


More stories

Image

Acquisition expands Rieke Packaging's stake in Asia

July 28, 2014 4:39 pm ET

Diversified rigid packaging components producer Rieke Packaging Systems now has a bigger footprint in Asia.    More

Image

Two medical device makers add specialty products through acquisitions

July 28, 2014 3:02 pm ET

The medical merger mania continues this summer as two more medical device manufacturers are swallowed up by bigger competitors.    More

Image

Deal combines US packaging thermoformers

July 28, 2014 12:42 pm ET

Thermoformed medical packager Nelipak Corp. is expanding its North American holdings and access to the U.S. health care market with the purchase of...    More

Image

Formosa to be compensated for Vietnam riot

July 28, 2014 1:44 pm ET

Taiwan's Formosa Plastics Group will receive $2.39 million from the Vietnamese government and insurance companies for damages suffered during the...    More

Image

Ukraine's Group DF may be forced to sell Crimea-based additives plant

July 28, 2014 10:12 am ET

Group DF, the industrial business of Ukrainian tycoon Dmitry Firtash, may be forced to sell off Eastern Europe's biggest producer of titanium oxide, C...    More

Market Reports

Plastics Recyclers Data Report & Directory

This exclusive MS Excel database contains all the companies from Plastics News' ranking of top North American Recyclers and Brokers by reprocessed volume and also includes a directory with materials processes, services offered and company contact information. Data is based on primary research by PN editorial staff.

Learn more

2014 Injection Molding Industry Report

GROWTH, OPPORTUNITY IN SIGHT FOR INJECTION MOLDERS IN 2014

In the wake of the economic turbulence earlier in this decade, molders today find themselves in much better shape. Molders are gaining a competitive advantage by investing in people, equipment and seeking inroads into new markets on a global scale.

Growth in the injection molding industry is going to be driven by low financing costs and a continued move to reshore some business.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events