July 31 2019, David R Brown
Brenntag to acquire Taiwanese specialty and industrial chemicals distributor Neuto Chemical Corp.
Brenntag (WKN A1DAHH), the global market leader in chemical distribution, has announced the acquisition of 100% of the shares of the Taiwanese chemicals distributor, Neuto Chemical Corp. ('Neuto'). The company is headquartered in Taipei and focuses on the distribution of specialty and industrial chemical products to a variety of industries such as Electronics, Coatings, Textile and Metal Working.
Neuto is a complementary fit to our today's Brenntag Taiwan business focusing on Health and NutritionHenri Nejade
Member of the Management Board of Brenntag Group and CEO Brenntag Asia Pacific
Henri Nejade, Member of the Management Board of Brenntag Group and CEO Brenntag Asia Pacific: “The acquisition strengthens our position in Taiwan. With the Electronics, Coatings and Textile industry being served, Neuto is a complementary fit to our today's Brenntag Taiwan business focusing on Health and Nutrition. Neuto's team is well-established and has a very good reputation amongst suppliers and customers in the Taiwanese market.”
Anthony Gerace, Managing Director Mergers & Acquisitions at Brenntag Group: “There is great potential to generate synergies in the coming years via the leveraging of Brenntag's suppliers with the Neuto’s more than 850 customers and cross selling from Neuto's product portfolio to Brenntag's local customers. Furthermore, we see opportunities to expand the Taiwanese supply base throughout the rest of the Asian Pacific market.”
The target business generated sales of approximately EUR 26.2 million in the financial year 2018. Closing of the transaction is subject to certain contractual closing conditions and regulatory approvals and is expected to occur in the first half of 2020.
Brenntag, the global market leader in chemical distribution, covers all major markets with its extensive product and service portfolio. Headquartered in Essen, Germany, the company operates a global network with more than 580 locations in 76 countries and a workforce of more than 16,600 employees. In 2018, the company generated sales of EUR 12.6 billion (USD 14.8 billion). Brenntag connects chemical manufacturers and chemical users. The company supports its customers and suppliers with tailor-made distribution solutions for industrial and specialty chemicals. With more than 10,000 products and a worldclass supplier base, Brenntag offers one-stop-shop solutions to around 195,000 customers. This includes specific application technology, an extensive technical support and value-added services such as just-in-time delivery, product mixing, formulation, repackaging, inventory management and drum return handling. Long-standing experience and local excellence in the individual countries characterize the global market leader for chemical distribution.
Source(s): Brenntag Press Release