BASF Corp. will purchase polyurethane system maker IPI International in the first quarter of 2000 for an undisclosed amount. PMC Inc., the parent of IPI International, and BASF signed a letter of intent Jan. 17, setting the stage for the acquisition. Acquiring Elkton, Md.-based IPI International will boost BASF's sales and market position, particularly in the North American spray foam market, a company spokesman said, without providing specifics regarding sales or market share.
IPI International is a global manufacturer and supplier of PU systems used principally for insulation, the spokesman said. It also serves the flexible, rigid and nonfoam markets.
IPI International "will become integrated into our Polymers Division," which is a unit of the firm's Polyurethane Systems Group, according to the spokesman.
BASF is headquartered in Mount Olive, N.J., and is an affiliate of Ludwigshafen, Germany-based BASF AG.
The announcement came shortly after Dow Chemical Co. of Midland, Mich., announced a deal to acquire PU systems supplier Flexible Products Co. of Marietta, Ga., for $140 million.