Lanxess AG Completes Acquisition of Emerald Kalama Chemicals, Expanding Global Specialty Chemicals Portfolio

Affiliates of NYC-based American Securities LLC, the majority owner of Emerald Kalama Chemicals, have entered into a definitive agreement to sell the company to Lanxess AG (U.S. office in Pittsburgh). The transaction is expected to close in the second half of 2021 after customary approvals and will encompass all of Emerald’s operations in Washington state, the United Kingdom, and the Netherlands. These facilities produce consumer‑friendly preservatives, nature‑identical aroma chemicals, low‑VOC coalescents, and non‑phthalate plasticizers and plastic modifiers.

Emerald was formed in 2006 following the divestiture of several specialty‑chemical businesses from Lubrizol. In 2014 it was acquired by affiliates of American Securities, and since then the company has continued to invest in expanding its capabilities. Highlights include the 2015 acquisition of Innospec Widnes Ltd in the UK, a $40 million expansion of its Rotterdam facility, and the launch of several new product lines. Its plastics additives portfolio features non‑phthalate PVC plasticizers, polyolefin modifiers, antioxidants, and nucleating agents.

“Emerald has grown at a rapid pace, and we have continuously invested in expanding our capabilities. Lanxess has a sterling reputation within our industry as a global supplier, built on exceptional service, responsible manufacturing, and year‑over‑year growth. This is a fantastic development for Emerald, as Lanxess will be able to capitalize on our successes and position to continue growing synergistically,” said Edward Gotch, CEO and board member of Emerald.

“We are gaining further momentum on our growth course. The businesses of Emerald Kalama Chemical are an ideal fit for us. We will further strengthen our Consumer Protection segment and open up new application areas with strong margins, for example in the food industry and animal health sector. In addition, we will also enlarge our presence in our growth region of North America,” said Mathias Zachert, chairman of the board of management at Lanxess AG.

“We are proud to have supported Ed and the talented Emerald management team to drive growth and expansion of capabilities during our partnership. This transaction completes our original strategy for Emerald, which was to find strategic homes for each of the company’s distinct businesses to help them continue to grow,” said Scott Wolff, chairman of Emerald and managing director of American Securities.