- BASF acquired Solvay's polyamide business for €1.3 billion.
- The acquisition includes eight production sites and R&D centers in multiple countries.
- Approximately 700 Solvay employees join BASF.
- The E.U. Commission approved the acquisition with conditions on January 18, 2019.
Acquisition Details
BASF has completed the acquisition of Solvay’s polyamide (PA 6.6) business for €1.3 billion. This transaction enhances BASF’s polyamide capabilities and includes innovative products like Technyl®. The acquisition also improves BASF’s access to growth markets in Asia, North America, and South America.
Supply Chain Integration
With this acquisition, BASF gains backward integration into the key raw material adiponitrile (ADN), allowing the company to be present along the entire value chain for polyamide 6.6. This integration is expected to improve supply reliability for BASF’s customers.
Global Footprint
The transaction includes eight production sites located in Germany, France, China, India, South Korea, Brazil, and Mexico. It also encompasses research and development centers and technical consultation centers in Asia, North America, and South America. Additionally, BASF acquires shares in two joint ventures in France: a 50% share in the Butachimie JV with Invista and a 51% share in the Alsachimie JV with DOMO Chemicals.
Employee Transition
Approximately 700 Solvay employees will join BASF as part of this acquisition. The Alsachimie JV employs around 650 employees, while the Butachimie JV has approximately 400 employees.
Regulatory Approval
The acquisition agreement was signed in September 2017, subject to antitrust approvals. The E.U. Commission approved the acquisition on January 18, 2019, with conditions requiring the sale of certain parts of the original transaction scope to a third party. DOMO Chemicals was approved as the buyer for these parts, and the transaction between Solvay and DOMO Chemicals closed on January 31, 2020.
