DSM acquires 100% stake in Nylon Polymer Company’s PA6 unit from Shaw industries

08-Jan-10

Royal DSM N.V. has acquired 100% stake and full control of the PA6 polymerization facility of Nylon Polymer Company LLC (NPC) in Augusta (Georgia, United States) from Shaw Industries. This concluded transaction make NPC fully integrated into DSM Engineering Plastics' activities with effect from 1 January 2010. Financial details and terms of the transaction will not be disclosed. Prior to this, Shaw Industries was a partner with DSM in NPC. For DSM Engineering Plastics the acquisition of the full ownership of the PA6 polymerization facility is an important step in its strategy to increase its geographical footprint, including expansion into South America. It also allows the company full integration in the PA6 chain, including caprolactam, polymer and compounded products, in North America, supporting its strong commitment to key customers in the Americas. Last year, DSM opened its first PA6 polymerization plant in China, making it the only company to produce the entire PA6 chain in China. Koen Devits, President of DSM Engineering Plastics Americas, says: "This acquisition represents a major expansion of our polymerization capabilities in the Americas. It helps us to fully exploit our strong backward integration at the Augusta site, where DSM also produces caprolactam, a key raw material for Akulon®. The acquisition is also needed to support the additional sales opportunities we have generated, especially in the automotive, furniture and packaging industries, and it illustrates DSM's strong commitment to the Americas market." Richard Pieters, Global Business Director Akulon® PA6, comments: "We are very excited about this acquisition as it will further reinforce our commitment to global customers who want local supply and global support. North America will remain a key specification and innovation area for DSM Engineering Plastics." Akulon® Polyamide 6 (PA6) is a thermoplastic with outstanding mechanical properties over a wide temperature range used in various everyday applications such as automotive, luggage, sports, electronics, packaging films, lighting and furniture.