Grace to Acquire Synthetech, Inc. for Single-Site Catalyst Production
W. R. Grace & Co. and Synthetech, Inc. announced that they have entered into a definitive merger agreement under which Grace will purchase Synthetech, a manufacturer of fine chemicals specializing in organic synthesis, biocatalysis and chiral technologies. The aggregate purchase price for the transaction is approximately $19.2 million, less Synthetech’s unpaid debt and transaction costs at closing, and subject to a minimum cash balance of $600,000. The acquisition will provide Grace with capacity for the manufacture of specialty single-site and polypropylene catalysts used to produce plastics. In addition, Synthetech’s fine chemicals expertise in chiral and peptide intermediate synthesis will expand Grace’s discovery sciences offerings to the pharmaceutical sector.
“The addition of Synthetech’s technical expertise and its manufacturing assets is an important step in building our polyolefin catalysts business,” said Greg Poling, Vice President of W. R. Grace & Co. and President of Grace Davison. “Synthetech gives us immediate production capacity for specialty single-site and polypropylene catalysts, which significantly enhances our ability to supply our large global customers with these specialized catalysts. The acquisition eliminates the need for investing in a grass-roots facility."
The transaction has been approved by the boards of directors of both companies, but is subject to approval by Synthetech’s shareholders and the U.S. Bankruptcy Court and the satisfaction of other closing conditions. Grace anticipates completing the transaction during the fourth quarter of 2010.
Synthetech, Inc. has 63 employees. The primary facility in Albany, Oregon includes production and R&D. A second location in San Diego, California is dedicated to R&D. The company will be integrated into Grace Davison’s Specialty Technologies business.
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Topic world Synthesis
Chemical synthesis is at the heart of modern chemistry and enables the targeted production of molecules with specific properties. By combining starting materials in defined reaction conditions, chemists can create a wide range of compounds, from simple molecules to complex active ingredients.
Topic world Synthesis
Chemical synthesis is at the heart of modern chemistry and enables the targeted production of molecules with specific properties. By combining starting materials in defined reaction conditions, chemists can create a wide range of compounds, from simple molecules to complex active ingredients.
