Lanxess Announces to Acquire Chemtura

United States: Lanxess, a Germany based manufacturer and distributor of specialty chemicals, has agreed to acquire Chemtura, a United States based specialty chemicals manufacturing company. The transaction deal for acquisition of Chemtura by Lanxess is valued at around USD2.5 billion. According to this deal, shareholders of Chemtura would receive USD33.5 in cash for each share. The acquisition deal is expected to close by mid of 2017. The deal has provided Chemtura a transformative opportunity to diversify its product portfolio and generate premium value for the shareholders, employees as well as customers of the company.

TechSci Research depicts that through the acquisition of Chemtura, Lanxess would become a leading player in the global additives (lubricant additives and synthetic lubricants) industry. Additionally, this acquisition would also strengthen the urethanes and organometallics business segment of Lanxess.

According to an upcoming report by TechSci Research, “Global Specialty Lubricants Market, By Type (Mineral Oil Based, Synthetic Oil Based & Bio Based), By End User Industry (Automotive, Cement, Chemical, etc.), By Region, Competition Forecast & Opportunities, 2011-2025”, the global specialty lubricants market is valued at around USD11 billion and is anticipated to grow at the CAGR of about 6% during 2015-2025. The demand for specialized lubrication across fast growing industries of automotive, cement, and aerospace, etc., is fostering growth of specialty lubricants market globally.  The need for specialized lubricants is increasing due to increasing adoption of advanced and automated systems which involve functioning of multiple parts together.