Mar 7 2010
Afton Chemical Corporation, a global leader in the lubricant and fuel additive market, today announced the completion of its Polartech acquisition. Polartech is a global company specializing in the supply of metalworking additives. With this acquisition, Afton strengthens its industrial product portfolio with Polartech's premier metalworking fluid additive technology.
"This acquisition represents a significant step for Afton in our strategy to expand our technology and expertise in the industrial market," said Warren Huang, Afton Chemical's President. "As a result of the acquisition, we also now have a greater presence in targeted international markets - including India and China - where we see opportunities for growth," said Huang.
The agreement includes all physical assets of the Polartech business including headquarters, R&D and manufacturing facilities in the UK, as well as manufacturing sites in India, China and the US. Afton will assume approximately 130 full-time employees. Polartech has annual revenue of approximately $45 million. Financial terms of the agreement were not disclosed.
"We've acquired a first class metalworking additives business, with the people, technology and global reach to significantly enhance our ability to provide our customers with solutions to grow their businesses," said Rich Mendel, Afton's VP of Global Lubricant Additives. "Polartech has utilized expert application knowledge and differentiated additive technology to create value for their customers. That business model will be an excellent fit with Afton," added Mendel.
With industry fundamentals being strong, the Polartech acquisition is one of many strategic investments that Afton Chemical has made in the last two years. These strategic investments include the acquisition of GE's fuel additives business, a new research and development facility in Shanghai, China, a new and expanded facility in Tsukuba, Japan and a manufacturing facility in Singapore. Over the last ten years, Afton has expanded their product lines and geographic coverage, giving us a broad and diversified business base.