Degussa expands methacrylate capacities in North America
Acquisition of CYRO completed
Degussa AG to swiftly expand its methacrylate production capacities in North America, following the completion of the takeover of CYRO Industries, Rockaway, NJ, USA: Over the next few months the Methacrylates Business Unit will increase its capacity for methyl methacrylates (MMA) at the CYRO production site in Fortier, LA, USA, by around 20,000 metric tons. This will increase Degussa's worldwide production capacities for MMA manufacture to 480,000 metric tons.
Moreover, Degussa intends to construct a new facility for methacrylic acid at the Fortier site, with a capacity of around 20,000 metric tons. The plant is scheduled to come on stream in 2006.
In mid-April 2005, Degussa announced the acquisition of the 50-percent shareholding of its former joint-venture partner Cytec in CYRO, a joint-venture company established by Degussa and Cytec in 1976. Following clearance by the antitrust authorities and payment of a purchase price of 95 million US dollars (74 million euros), this transaction has now been completed.
"With the acquisition of CYRO and the expansion of the production facilities we are sending a clear signal of our market presence in America and our global growth strategy", emphasizes Gregor Hetzke, Head of the Methacrylates Business Unit. The Business Unit is part of the Specialty Polymers Division, which generated sales of approx. 1.4 billion euros in 2004 with around 3,600 employees.
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