BASF acquires plasticizer business from Sunoco, Inc.
BASF announced that it has completed its acquisition of the Sunoco, Inc., phthalate plasticizer business. Included in the transaction are Sunoco's Pasadena, Texas, site with the land, phthalic anhydride, and oxo alcohol manufacturing plants, and the phthalate esters, 2-ethylhexanol, and phthalic anhydride businesses. The unit had sales of approximately US$ 150 million in 2002. Sunoco's Neville Island, Pa., site, which is not being acquired, will manufacture plasticizers for BASF under a tolling agreement.
The purchase price was US$ 91 million. The transaction was structured as a purchase of assets, including fixed assets and working capital. The transaction also included purchase of intellectual property rights, tolling rights at the Neville Island facility and customer lists.
In the Nafta region BASF currently has a plasticizer manufacturing site in Cornwall, Ontario, Canada, and has a manufacturing and marketing agreement with Sterling Chemical in Texas City, Texas.
"With completion of this acquisition, we are positioned to deliver greater customer value by providing a broader line of linear and branched plasticizer products and new supply chain efficiencies," said Cenan Ozmeral, Group Vice President, Petrochemicals, for BASF in North America. "This action also demonstrates that BASF is strongly committed to plasticizer customers in North America."
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