I D
× COMMENTARYIN THE NEWSNEWSFRONTSCHEMENTATOR + Show More BUSINESS NEWSTECHNICAL & PRACTICALFEATURE REPORT
PAT is IIoT Ready
Combining process analytical technology (PAT) and the cloud for next-level…
FACTS AT YOUR FINGERTIPSTECHNOLOGY PROFILEENGINEERING PRACTICEEQUIPMENT & SERVICESFOCUS
Focus on Pumps
Minimize vibration and pipe hammer with these dampers The new…
NEW PRODUCTS + Show More

Comment

Lanxess sells leather chemicals business for €80 million

By Mary Page Bailey |

Lanxess AG (Cologne, Germany) is selling its organic leather chemicals business to TFL Ledertechnik GmbH. TFL is a global supplier of leather chemicals and a portfolio company of US investment company Black Diamond Capital Management, L.L.C. Both companies signed an agreement to this effect on August 12, 2020. The purchase price comprises a fixed component of  €80 million and a performance-related component of up to EUR 115 million. In addition, TFL will assume certain liabilities associated with the business. The transaction is still subject to the approval of the relevant authorities. LANXESS expects the transaction to close around mid-2021.
    
“We are convinced that the transfer to TFL will open up new growth and development prospects for the business and will thus significantly strengthen it,” said Matthias Zachert, Chairman of the Board of Management of LANXESS. “At the same time, we are making LANXESS somewhat more independent from the automotive industry, a key target industry for leather products.”

Tanneries use organic leather chemicals in all stages of leather production. LANXESS manufactures the products in Leverkusen (Germany), Filago (Italy), and Changzhou (China). This is complemented by application-oriented laboratories and sales offices around the world. TFL will take over all operations of the organic leather chemicals business line from LANXESS with a total of around 460 employees. In 2019, LANXESS generated sales in the lower three-digit million euro range with the business.

With the sale, LANXESS is withdrawing completely from leather chemicals. The specialty chemicals company had already divested its chrome chemicals business, as well as its stake in the South African chrome ore mine (transaction expected to be completed by the end of 2020). LANXESS has been reporting the Leather business unit as a discontinued operation since the end of last year.

Related Content

Chemical Engineering publishes FREE eletters that bring our original content to our readers in an easily accessible email format about once a week.
Subscribe Now
Steel Belt Units for Medical Membranes
Upstream Oil & Gas: Automation intelligence from wellhead to distribution
Video - CoriolisMaster
Video - Do you really need a thermowell?
The influence of IIoT in the dewatering process step of pigment production

View More