Trinseo SA is acquiring API Applicazioni Plastiche Industriali SpA in a deal announced June 15, expected to close in the third quarter of 2017.
API's “strong position” in soft-touch polymers including thermoplastic elastomers and thermoplastic polyurethanes, will complement Trinseo's strengths in rigid polymers, said Chris Pappas, president and CEO of Trinseo, which is funding its “first acquisition” from existing cash.
The purchase from the Brunetti family is part of a strategy to grow Trinseo's performance materials businesses in all global regions, Pappas added.
The transaction includes API's manufacturing and research facility at Mussolente, Italy, and all of API's business, employees and assets. The management team and workforce will join Berwyn, Pa.-based Trinseo's performance plastics business.
“After 60 years of successful history, API today celebrates an important milestone,” said Lorenzo Brunetti, vice president and son of founder Sergio Brunetti.
Selling to Trinseo, he said, can lead to “absolute excellence and leadership on the global market. We see a bright and successful future for the people we care for the most: our dedicated and talented employees.”
API's products are distinct from Trinseo's and are complementary, according to Hayati Yarkadas, senior vice president and business president, performance materials at Trinseo, which spun off from Dow Chemical Co. in 2010.
“Trinseo's rigid plastics have a very strong position in automotive, medical and consumer markets. API's soft-touch TPE products are often used together with rigid plastics in similar applications, so the combination of Trinseo and API will benefit customers,” Yarkadas said.
API's products cover TPEs, TPUs, EVA-based compounds and two-component PU. Its main markets are automotive, footwear, appliances, furniture, sports goods, consumer goods, packaging, construction, and medical.