OOC says that the acquisition is part of moves to strengthen its global position in the chemical sector, after last week’s confirmation that the deal had fulfilled antitrust approval.
Philippe de Fitte, OOC vice president downstream strategic business unit, stated that on top of aiming to strengthen the company's footprint in both Europe and North America chemical markets, it will also serve to meet the requirements of its expansion ambitions in the Asian emerging markets.
Oxea has a turnover of €1.5bn and targets the cosmetics market
Although the purchase price has not been revealed, the deal gives Oman Oil a significant share in the market for Oxo and derivatives, with current figures showing that Oxea manufactures a total of 1.3 million tonnes of chemicals every year, generating annual sales of approximately €1.5bn.
For the cosmetics and personal care industry it supplies a number of ingredients, including polyols used as lubricants and polymer additives, as well higher aldehydes and specialty derivatives used in a variety of fragrance applications.
According to OOC, which is owned by the government of the Sultan of Oman, the move fits in with the Sultanate’s economic development program, ‘Vision 2010’, which aims at diversifying the state’s industrial and economic output beyond oil and into a variety of industrial and commercial activities.
OOC acquisition will expand its business portfolio
“Oxea is an impressive company with a strong track record, highly diversified product portfolio and strong customer base,” said H. Nasser bin Khamis Al Jashmi, Chairman of OOC.
“With its international presence in Europe and North America, leading technology, efficient platform and longstanding experience in the Oxo segment, Oxea will support our further expansion into the chemical sector.”
Oxea was formed by merging two separate business units that were acquired by Advent back in 2007, from Evonik, which was later grown into the business it is today, a story that has included strong year-on-year revenue growth.