Exolon Group, a Munich-based company formed to take over Covestro AG's European polycarbonate sheet operations, has officially opened for business.
Covestro sold the sheet business, with 250 employees and 130 million euros ($144.8 million) in annual sales, to German investment company Serafin Group in a deal completed Jan. 3. Exolon has now launched as an independent company under Serafin.
Exolon will focus on solid and multiwall sheet, the companies said, while Covestro will carry on serving as key raw materials supplier to the business for a "foreseeable future."
Polycarbonate sheets are used in a variety of industries and applications, such as in the construction- and lightning industries as well as mechanical engineering and mobility.
The sale of the operations was made as part of Covestro's ongoing portfolio optimization process, which includes the divestment of all PC sheet businesses.
The transaction concludes the company's previous divestments of its related facilities in North America and India in 2018, and the conversion of its production in Guangzhou, China, into a specialty films site.
Covestro said it decided to shed its sheet business after a thorough evaluation, adding that the business did not fit with the strategy of its PC segment in the long run.
Munich-based Serafin Group concentrates on investments in established, small and mid-sized companies in industrial business sectors.