Located in Ankleshwar, India, Laffans chemicals business has 130 employees and annual sales of $45 million. The acquisition is expected to close in the first half of 2011. Huntsman will integrate the Laffans chemical business into its performance products division.
In addition to the recently announced expansion of our polyetheramine facility in Singapore, the acquisition of this business is strategically important as we look to meet the rapid growth in demand for other amines within Asia, said Daniele Ferrari, president of Woodlands, Texas-based Huntsmans performance products division. A stronger manufacturing presence in India will enable us to better support our customers and their growth specifically within the Indian economy. The Laffans chemical business is complementary to our existing technology and product offering, and introduces exciting potential for additional product development.
In June 2009, Huntsman and Laffans agreed to share know-how, expertise and resources for specialty chemicals, including surfactants and amines. Laffans responsibilities included manufacturing and raw material sourcing, while Huntsman contributed marketing and selling, branding, product range, global approvals, technology and manufacturing processes.
Its a natural progression from the initial collaboration, Huntsman spokesman Gary Chapman told Lube Report. Weve been working closely with them since that time. Its gone well, and we decided to take it to the next step.
Laffans Petrochemicals, started in 1994, produces a variety of ethoxylates used in lubricants, along with glycol ethers, ethanolamines, brake fluids and a variety of other specialty chemicals. According to Laffans web site, the companys capacities include 25,000 metric tons per year of glycol ethers, 30,000 mt/y of ethoxylates and 10,000 mt/y of ethanolamines.