The deal is valued at €1.6 billion with the transaction scheduled to complete in the third quarter of 2018. 3D Printing Industry asked Werner Bach, Management Support Business Build Up & Communication 3D Printing, a few questions about the deal.
“When the M&A transaction is completed, Solvay’s polyamide division will be integrated into BASF’s Performance Materials and Monomers divisions and will complement BASF’s engineering plastics offering,” explains Bach.
Strengthening position to range of industries
For the most recent full financial year of 2016, net sales at the division to be acquired from Solvay were €1,315 million, with EBITDA of approximately €200 million. The Solvay polyamide division has approximately 2,400 employees globally, with 1,300 in France. On a global basis operations take place at 12 production sites, 4 R&D locations and 10 technical support centers.
As previously reported, a specialist 3D printing division, BASF 3D printing Solutions GmbH, was established in September 2017. Bach says, “BASF 3D Printing Solutions GmbH will benefit from the acquisition so far as Solvay is already active in 3D printing, mainly as a materials supplier to the industry.”
“In order to strengthen our ambition to offer materials, system solutions, components and services to industrial additive manufacturing we will use synergies by implementing Solvay’s current 3D printing efforts into our portfolio.”
Jean-Pierre Clamadieu, CEO of Solvay said, “Solvay’s planned divestment of Polyamides marks a tipping point in the profound transformation journey we began four years ago. Successful completion of this transaction will further reinforce Solvay as a multi-specialty chemical group, delivering superior growth and sustainable value.”
Backward integration into key raw materials for engineering
With the acquisition of the Solvay division, BASF will have increased “polymerization capacities and the backward integration into the key raw material ADN (adipodinitrile).”
Bach says, “BASF Polyamide 6 (PA6) – pure and modified grades named Ultrasint PA6 are currently part of our Powder Bed Fusion offerings for industrial additive manufacturing. BASF 3D Printing Solutions GmbH operates laser sintering machines with our PA6 powders for developing applications for our powder customers.”
Ultrasint PA6 is widely used across the 3D printing industry for the production of high performance functional parts.
BASF is also one of the early members of the HP material’s platform. The HP Open Platform is intended to encourage the widespread use of 3D printing by widening the palette of materials available and broadening the range of suppliers. HP is working with approximately 50 material supply companies to achieve these objectives.
Featured image show BASF researchers inspecting a 3D print. Photo via BASF.