DSM Industrial Resins & Compounds (Zwolle, the Netherlands), a business group of the Dutch chemical group DSM, and Menzolit-Fibron (Bretten, Germany), part of the Dynamit Nobel group, have reached agreement on the transfer of DSM's compounds activities (DSM Compounds) to Menzolit-Fibron. DSM Compounds, with annual sales of approximately EUR 50 million, has production sites and sales offices in:
The total number of employees involved is approximately 175.
The two parties intend to conclude the transaction this year, subject to approval of the local antitrust authorities. The transfer will have no direct consequences for the employment situation.
The proposed deal fits in with DSM Industrial Resins & Compounds' strategy of further focusing on unsaturated polyester resins (structural resins), its core business. The company is the European market leader in this field and aims to reinforce this position. The deal also fits in with Menzolit-Fibron's strategic aim of strengthening its position in the composites/parts market.
The proposed transaction is in line with the current trend towards consolidation and concentration in the European compounds market. This trend will strengthen the position of thermoset compounds in the European automotive, electrics & electronics and building/construction industries relative to conventional materials such as steel and aluminium.
Menzolit-Fibron GmbH, forming part of the Dynamit Nobel Group, is a subsidiary company of Dynamit Nobel Kunststoff GmbH. Besides its operations in the plastics industry, the Dynamit Nobel Group is also involved in explosives, high-performance ceramics, specialty chemicals and pigments.
The group, with a sales figure of EUR 2.3 billion in the past financial year, operates in global markets and has production facilities all over the world. Dynamit Nobel Group, a subsidiary of Metallgesellschaft AG based in Frankfurt (Germany), employs about 16,000 persons worldwide.