Eastman targets EU plasticisers market

Genovique Specialties is headquartered in the US but has manufacturing operations in Estonia and supplies the European and Asia Pacific market. It is owned by private equity firm Arsenal Capital Partners of New York and posted sales of about $135m in 2009.

“Genovique’s production and distribution capabilities and customer relationships in Europe and Asia enhance Eastman’s diversification in regions targeted for growth,” says Eastman.

Thanks to the acquisition Eastman will also move into speciality non-phthalate plasticisers based on benzoic acid for water-based adhesives. The market for non-phthalate solutions is expected to grow at a compound growth rate of 7% over the next five years in Europe and North America, claims Eastman. The global plasticiser market is currently worth around $9bn (€6.6bn).

Eastman did not reveal the acquisition price but says the transaction is expected to be accretive to its full-year 2010 earnings per share. The deal will be paid for in cash.