Degussa Sells Katalysatorenwerke Hüls
Katalysatorenwerke Hüls GmbH (KWH), a Marl, Germany-based joint-venture company of Degussa AG (51 percent) and E.ON Kraftwerke GmbH (49 percent), is being sold to Allied Resource Corporation of Wayne, Philadelphia, effective July 1, 2001. KWH produces catalysts to remove nitrogen oxides from flue gases (DENOX catalysts), particularly for power stations. KWH's production capacity amounts to approx. 5,300 cubic meters per annum, and the company generated sales of approx. EUR 25 million in fiscal 2000. Silence has been agreed with regard to the purchase price.
As it had been announced in late 2000 that KWH was to be shut down, Degussa Management Board Chairman Prof. Dr. Utz-Hellmuth Felcht commented on the sale as follows: "The matter has taken a pleasing turn for all involved. Divestment to the Allied Resource Group not only safeguards KWH's approximately 75 jobs at Marl Chemical Park but also opens up the company an interesting employment outlook." This is due to the additional marketing prospects that beckon KWH in combination with Allied Resource Corp, particularly with regard to KWH's DENOX catalysts. The US market, which has grown considerably over the past few years, is especially promising in this respect.
Buying KWH enables the Allied Resource Group to complement its product portfolio with catalysts for removing nitrogen oxides from flue gases. Group companies include Alanx Corp. (USA), a worldwide supplier of high-performance ceramics, and Aura Metallurgie GmbH, which is currently building a plant in Saxony Anhalt to reprocess spent catalysts. Allied Resource Corp. also holds a stake in Puralube GmbH, which is building a refinery in Marl Chemical Park to recycle waste oils into lubricants.
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