MALMÖ, Sweden — December 10, 2018 — Perstorp, a global supplier of specialty chemicals, announced today it has agreed to sell Capa™, its caprolactone business, including the production site in Warrington, to Ingevity for approximately 590 million euros. The business has annual revenues of approximately 150 million euros.

Under Perstorp’s leadership during the last 10 years, Capa’s operating margins have increased by almost 50 percent by investing in production and new product lines, which in turn have increased both the customer base and the geographic reach. This has made Capa a highly attractive asset, gaining interest among several potential buyers of which Ingevity now will be the new owner to continue to develop the long-term value of the business. Ingevity will acquire Perstorp UK Ltd. including Perstorp’s entire caprolactone business.

The sale of Capa will unlock significant value and is in line with Perstorp’s track record of successful divestments such as most recently the BioFuels Business and in 2017, the Belgian site in Gent.

It will furthermore enable the Perstorp Group to focus its business opportunities and future growth prospects on its Polyol, Oxo and Feed businesses, maximizing opportunities such as;

• further building leadership in the polyol business;
• expand the markets for phthalate free plasticizer Pevalen™;
• expand the markets for products within the animal nutrition area; and
• establishing its pro-environment solutions as the first choice (certified products based on renewable raw materials).

Jan Secher, president and CEO of Perstorp, commented: “We have a strong track record in delivering optimum value from our businesses. Capa is an excellent proof of this and where the business will continue to have a bright future. This sale realizes the significant value of the asset, simplifies Perstorp Group, strengthens our balance sheet and allows us to focus our future investment and innovation in attractive high growth segments. Our strategy remains to leverage Perstorp’s superior positions and expertise in chemistry and engineering to drive innovation and provide our customers with solutions that advance everyday life.”

“The Capa business fits Ingevity’s strategy and financial profile and aligns with our business model and capabilities,” said Michael Wilson, Ingevity president and CEO. “Like our current businesses, Capa is a high value-added, specialty chemicals business driven by technology-based customer partnerships and focused on high-growth end-markets. In addition, Capa will increase Ingevity’s product and geographic diversity and offers the potential to grow in related strategically-targeted market segments.

The transaction is subject to certain regulatory approvals and other customary closing conditions, and Perstorp expects to close the transaction in the first quarter of 2019.

HSBC Bank plc acted as financial adviser and Allen & Overy acted as legal counsel to Perstorp.

Posted December 10, 2018

Source: Perstorp

ZURICH, Switzerland — December 10, 2018 — Global yarn production increased by +5% between Q1/18 and Q2/18. Higher output where observed in Egypt (+1.4%), the U.S.A. (+3.2%), South Africa (+3.3%), and globally in Asia where the overall +5.7% increase was led by Chinese Taipei and Korea, Rep. (respective growth rates of +8.1% and +8.8). An opposite trend has been observed in all surveyed European countries, Brazil and Japan. Forecasts for Q3/18 are only optimistic in Africa but the Q4/18 previsions turn positive in all regions except Brazil where stability is expected. Global yarn stocks decreased globally by -4.75%. This is the effect of small contractions in Asia and Europe (between -3% and -4%), an +18% increase in Brazil, and a -20% average decrease in the African countries surveyed. Altogether, yarn stocks reached 85% of their previous year’s level for the same quarter. Global yarn orders decreased by -6% led by a strong reduction in the Brazilian market (-28%). Yarn orders however increased in Africa and Europe by +5.7% and +7.5%, respectively.

Global fabric production slightly decreased from Q1/18 to Q2/18. The +0.25% contraction reflects a -6% output reduction in Africa, a decrease of -0.5% in Asia, a +1.6% increase in Europe, and a +3.7% jump in Brazil. The world output level now reaches 87% of its Q2/17 level. Fabric production in all regions is expected to decrease in Q3/18 except in Brazil where stability is foreseen. Q4/18 should see improvements in all regions. In Q2/18, the global fabric stock level grew by almost +2%. It was driven by Brazil’s stock increase of +7%, which brought global fabrics stocks 11% above their Q2/17 level. Stocks remain stable in Asia, Europe, and the U.S.A. They continue to steadily drop in Egypt. Global fabric orders have risen by +43% at world level in Q2/18, led by a +65% increase in Brazil that followed an unusually low first quarter. Orders in Asia and Europe have stagnated and contracted in Egypt, respectively. Global fabric orders are now 16% above their level observed in Q2/17.

Posted December 10, 2018

Source: International Textile Manufacturers Federation, (ITMF)

ALEXANDRIA, Va. — December 7, 2018 — Northwest Healthcare Linen, the Bellingham, Wash.-based independent medical launderer, has been re-certified Clean Green, reflecting the company’s continued dedication to operational efficiency and sustainability. Linen, uniform and facility services companies who renew this certification do so by adhering to TRSA-designated water and energy use thresholds and deploying best management practices (BMPs) consistent with the ASTM International environmental laundering standard.

Northwest Healthcare Linen’s customers can be assured their reusable healthcare textiles are washed, dried and finished with processes that maximize sustainability and reduce greenhouse emissions. Clean Green certified operations demonstrate significant commitment to conservation and green operations through these BMPs:

• Recovering heat from drained hot water and heat dispersed from the process of warming water;
• Recapturing drained water from rinses for reuse;
• Using environmentally friendly detergents;
• Removing solids and liquids from wastewater;
• Solar energy and energy-efficient lighting;
• Recycling programs;
• Re-routing trucks to save vehicle fuel; and
• Spill prevention plans.

The Clean Green certification is valid for three years at a time. TRSA inspects laundry facilities seeking certification and approves documentation of their water and energy use and BMP deployment through production reports they submit to auditors during the inspections. TRSA’s certification management protocol includes auditor training by the association’s inspection program administrator.

Clean Green aligns with the ASTM International standard, Guide for Sustainable Laundry Practices, which recognizes key criteria for the certification as universal indicators of maximum sustainability in commercial laundry work. ASTM’s review of TRSA BMPs verified these as the most effective and practical techniques for a laundry to achieve green objectives.

TRSA members prompted development of the standard, which was vetted in the sustainability subcommittee of the ASTM Committee on Textiles. Top technical experts, scientists and environmental professionals from outside the linen, uniform and facility services industry reviewed the BMPs. ASTM is the global leader in developing and delivering voluntary consensus standards unparalleled in building consumer confidence in product and service quality.

“I applaud Northwest Healthcare Linen for their sustainability efforts and maintaining the highest standards in their production and delivery operations,” said Joseph Ricci, TRSA president and CEO. “Meeting all the criteria for certification is not easy, but Northwest is committed to industry-leading processes and technologies.”

Posted December 7, 2018

Source: TRSA

COLUMBIA, S.C. — December 4, 2018 — The DRÄXLMAIER Group, an automotive supplier, has completed a new expansion of its existing manufacturing operations in Spartanburg County. This expansion represents an investment of $42.7 million and the creation of 460 new jobs.

A tier one supplier to the international automotive industry and headquartered in Germany, DRÄXLMAIER manufactures interiors for premium automobiles and plastic components at its Duncan, S.C., site, which is located at 1751 East Main Street. Opened in 1998, the facility has been expanded three times since then, the last time in 2015 when DRÄXLMAIER constructed a 184,000-square-foot production and logistics building.

With this project, DRÄXLMAIER has invested in additional equipment to accommodate new automotive interior production demands by new and existing customers.

For more information on the DRÄXLMAIER Group, visit the company’s website.

The Coordinating Council for Economic Development has approved job development credits related to this project. A $500,000 Set Aside grant was also awarded to Spartanburg County to assist with the costs of building upfit.

“We are proud to call South Carolina our home,” said DRÄXLMAIER Group CEO Americas Dr. Josef Mittermeier. “Our latest expansion shows that we are committed to steady growth in the region. South Carolina offers us an excellent business environment, a talented and skilled workforce and exceptional market access. We appreciate all the support we have received from state and local officials.”

“South Carolina remains a leader in the global automotive industry, and this expansion by DRÄXLMAIER is a great example of that,” said Governor Henry McMaster. “We’re proud that this internationally-renowned company has been a part of the South Carolina business community for more than two decades, and we look forward to their continued success here.”

“It’s hard to overstate the important role that DRÄXLMAIER has played in transforming South Carolina’s economy into an automotive powerhouse,” said Secretary of Commerce Bobby Hitt. “I congratulate this innovative company on their ongoing success and look forward to watching this latest expansion come to fruition.”

“We are extremely pleased that the DRÄXLMAIER Group is expanding and growing its operations in Spartanburg County,” David Britt, Spartanburg County Economic Development Committee chairman and Economic Futures Group board member. “DRÄXLMAIER’s decision to expand here represents our commitment to our existing industries through the support of Spartanburg’s Economic Futures Group and the S.C. Department of Commerce. Working together with industry, we continue to demonstrate the hospitable international business climate that exists in Spartanburg County and the dedication of the economic development team in South Carolina.”

FAST FACTS

• The DRÄXLMAIER Group has completed a new expansion of its Spartanburg County operations.
• $42.7 million investment to create 460 new jobs.
• The company’s facility is located at 1751 East Main Street in Duncan, S.C.
• DRÄXLMAIER has investedin additional equipment to accommodate new automotive interior production demandsby new and existing customers.

Posted December 7, 2018

Source: Office of the Governor of South Carolina