Fuchs Swallows Shell’s Food Lubes


Fuchs Petrolub AG has acquired the worldwide food-grade lubricants business of Shell International Petroleum. Terms were not disclosed.

The acquisition takes effect on October 1. Fuchs will integrate Shells food-grade lubricants business into Fuchs Lubritech, its own lubricants specialty division based in Kaiserslautern, in southwest Germany. In 2009 Shell generated sales revenues of 21 million (U.S. 28 million) in its food-grade lubricant business.

It is an asset deal, which means we acquired [Shells] food product technology, the global Cassida brand, the customer base and those employees working in research and development, Hubertus Staerk, Fuchs spokesperson, told Lube Report. Customers are well-known international food manufacturers in the beverage industry, meat processing, pet food, as well as big international food producer groups. The business is focused on Europe and the Americas.

With the acquisition Fuchs hopes to expand its current product range in food-grade lubricants in order to become one of the worlds leading suppliers in this market niche.

The company has had a food-grade lubricant business since 1995. The acquired business is approximately twice the size of the existing Fuchs business. We are now positioned in the group of the first three globally active food lubricants producers, Staerk noted.

We are expecting more than a dozen international employees in R&D and in marketing to get a job offer by our company. The food lubricant products will be manufactured in Fuchs new Kaiserslautern plant, he said

For competitive reasons, Fuchs declined to disclose the food-grade lubricants volumes produced. For us, the value is the driving factor. As lubricants specialists we make more out of little, Staerk concluded.

Fuchs Lubritech division has more than 400 employees worldwide. The group has locations in Germany, England, France, Australia, United States, Brazil, Japan, China and India as well as distributors and partners in more than 60 countries.

The Mannheim, Germany-based parent company is one of the worlds largest marketers of lubricants and specialty fluids with 3,515 employees worldwide and annual sales revenues of 1.2 billion.