DSM Engineering Plastics, a business group of the Netherlands-based Life Sciences and Materials Sciences company Royal DSM N.V., today announces that it has signed the contracts with Mitsubishi Chemical Corporation (MCC) enabling DSM to acquire MCC's Novamid polyamide business in exchange for DSM's Xantar polycarbonate business.
In May 2009 both companies already announced the signing of a memorandum of understanding for the intended swap. The transaction is subject to various external approvals. Closing is expected in Q2 2010.
For both companies the businesses they will add to their portfolios as a result of the intended swap of activities provide a strong strategic fit. DSM Engineering Plastics will be able to further reinforce its position as one of the globally leading producers of polyamide engineering plastics and expand its position in Japan, an important market where innovation and sustainability are driving growth.
A number of key employees of DSM's polycarbonate business will transfer to MCC. A number of employees of MCC will be seconded to DSM. It is also envisaged that MCC will establish an R&D unit at the Chemelot Research and Technology campus in Geleen (Netherlands).