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Compounding Acquisition Strengthens INVISTA’s Portfolio

Polymer compounding capabilities brings new opportunities to European customers

Compounding Acquisition Strengthens INVISTA’s Portfolio

December 21, 2012

A subsidiary of INVISTA acquired a manufacturing facility previously operated by privately-held VSL Born B.V., which focuses on the compounding and recycling of polyamides used in automotive, electrical/electronic, industrial and consumer goods applications. The deal—which closed today—brings a new set of in-house capabilities to INVISTA Engineering Polymers and will help better meet global customer demand.

INVISTA, a polymer and fiber company with 10,000 employees and operations in more than 20 countries, will place the compounding asset within its Engineering Polymers business. Beginning immediately, assets owned by Netherlands-based VSL will transfer to INVISTA for use to produce INVISTA’s product brands, including TORZEN® PA66 resin.

“Europe is a critical region for automotive manufacturers and other global decision-makers within the industry,” said Kurt Burmeister, executive vice president, INVISTA Engineering Polymers. “The Born site’s expertise, location, employee values, and position as a trusted compounder made them the right fit for our company.”

While INVISTA plans to use the site primarily to produce prime-based compounds under its TORZEN® brand, the plant also has capacity and capabilities to produce high-quality recycled products. The asset acquisition in Born also enables additional capacity for potential new product and application development.

Along with the acquisition, INVISTA continues to rely on its global network of contract manufacturers—including those located in Europe—to meet specific customer needs.

“Our business model now includes internal compounding production as well as contract manufacturers,” added Burmeister. “We continue to see opportunities to leverage contractors’ capacities, locations and competencies while simultaneously extending our reach through this acquisition.”

The Born site has approximately 30 employees, all of whom will transition into INVISTA.

Earlier this year, INVISTA also announced plans to expand its plant in Rozenburg, the Netherlands, for production of nylon salt—a precursor to nylon polymer.

According to PCI Nylon Yellowbook, INVISTA is the world’s largest producer of nylon 6,6 polymer. INVISTA has a network of independent compounders in the U.S., Brazil, Turkey, Italy and China, and has in-house PA66 manufacturing capabilities in the U.S., Canada, the Netherlands and Argentina.  Additionally, the company has commercial, technical and distribution facilities in each major region around the world.

Terms of the acquisition were not disclosed.

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