Perstorp Acquires GEO’s DPMA Business

17.01.2022 - Swedish speciality chemicals producer Perstorp has acquired GEO Specialty Chemicals’ Di-Methylolpropionic Acid (DMPA) business, a move the company said underscores its commitment to providing sustainable specialty solutions to the resins and coatings segment as well as enhancing its strategic presence in polyurethane and alkyds dispersions for waterborne coatings.

GEO has been a subsidiary of CPS Performance Materials, a manufacturer of performance polymers, fine chemical and chemical illumination solutions, since 2019. The New Jersey-headquartered company bought the business from private equity investor Arsenal Capital Partners. Its output supplies multiple end markets including pharmaceuticals, nutrition, specialty coatings and dispersants.

Malmö-based Perstorp said that adding the DPMA business “significantly bolsters” its position within the di-methylpropionic acid platform, allowing it to further invest in innovation and add capacity incrementally as it supports the shift toward renewable raw materials and sustainable technologies. In future, GEO will produce DMPA exclusively for Perstorp at its site in Allentown, Pennsylvania, USA.

Perstorp CEO Jan Secher said additives for waterborne resins and coatings technologies are a key area for future growth, and the company sees “great potential” in the market for Bis-MPA together with the newly acquired DMPA. Bis-MPA, which enables a technology shift from solvent to waterborne formulations within markets such as polyurethane dispersions, PUDs, and waterborne alkyds, has been a key building block in the Swedish company’s offering for more than 20 years.

Capacity for TMP ramped up in Italy

In separate news, Perstorp said it has ramped up its capacity for TMP at Vercelli, Italy, to meet growing demand from the European market. Filip Tauson, global vice president Polyols, said the expansion is fully in line with the company’s ambition to further strengthen its position in this core business.

Perstorp also makes TMP at sites in China, Sweden and US. Key applications are in saturated polyesters for coil coatings, polyurethanes for coatings and elastomers, acrylic acid esters for radiation curing, esters for synthetic lubricants and for the surface treatment of pigments.

Author: Dede Williams, Freelance Journalist