Former Rhodia Unit Sold Again


OM Group Inc. has sold its aluminum complex grease thickening business and related activities, 10 months after acquiring them from Rhodia.

The aluminum organics business – based at a factory in Bethlehem, Pa. – was spun off this month to FedChem LLC, a wholly owned subsidiary of Cleveland-based Federal Process Corp. OMG kept a former Rhodia plant in Manchester, U.K., that produces carboxylates and aluminum compounds for the rubber and inks industries.

We looked at [the Bethlehem operation] once we had it and kind of realized it wasnt a real good fit for us, OMG Director of Corporate Communications Carolyn Carr said. We took our time and looked to see how we could integrate it, but it just didnt make sense.

Federal Process President John H. Outcalt Jr. said the aluminum organics business was attractive because it serves a variety of Federal Process customer markets and because the Bethlehem plant includes research facilities. He added that his company does not plan significant changes in the operation, which employs 20.

The aluminum organics business includes KOLATE aluminum complex thickener systems, as well as water repellants and adhesion promoters for the coatings, ink and water repellants industries. Terms of the sale were not announced.