Materials supplier Röhm GmbH has acquired the Functional Forms business of Saudi Basic Industries Corp. (Sabic) for an undisclosed price.
The Sabic business is a major supplier of sheet made from the firm's Lexan-brand polycarbonate. Officials with Röhm in Darmstadt, Germany, said that PC sheet "is an ideal complement to [Röhm's] acrylic glass brands Plexiglas and Acrylite, creating a global leader in the transparent sheets and films segment."
The transaction is expected to close in the first half of 2024.
"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," Röhm CEO Michael Pack said in a news release.
Röhm is owned by Boston-based private equity firm Advent International. Advent Managing Partner Ronald Ayles said that the acquisition of the Sabic unit "is a unique opportunity for Röhm to build a global leader in this attractive segment."
The Sabic unit employs 700 worldwide and has operations in 19 countries and through various production sites strategically located across all continents. Combining the unit with Röhm's existing sheet and film business will create a combined business with annual sales of more than 700 million euros ($735 million).
The Sabic Functional Forms business is headquartered in Mount Vernon, Ind.
Sheet and film products made by the combined business are used in building and construction, consumer electronics, medicine, aviation and other industries.
Röhm officials said the acquisition "is a key cornerstone of Röhm's strategy to develop its transparent semifinished products business into a leading global multipolymer company."
In the U.S., Röhm recently moved its Röhm America unit into new offices in Parsippany, N.J. Officials said the new facility "caters to a hybrid work structure which has been adopted by the region." The site will employ around 80 and includes conference rooms and collaboration spaces.
Röhm employs 3,500 worldwide. The firm is a major producer of methyl methacrylate and related materials.