Safripol Sold to KAP Industrial Holdings

South African PP and HDPE producer Safripol has been acquired by KAP Industrial Holdings for just over 4 billion Rand, about $310 million. Headquartered in Stellenbosch, South Africa, KAP describes itself as a diversified industrial business that is focused on growth in African markets.

Safripol, originally a joint venture between Germany’s Hoechst and South Africa’s Sentrachem, was purchased by Dow Chemical in 1999 and subsequently sold in 2006 to a consortium of private equity and other investors. These included Rockwood, Thebe Investment and members of the management team.

“The acquisition of Safripol is complementary to KAP’s existing operations. We always saw Safripol as an ideal fit for their business,” said Andrew Dewar, Rockwood’s CEO.

KAP will establish a new chemical division which, as well as Safripol, will also incorporate Woodchem and Hosaf, its respective urea-formaldehyde resins and PET businesses. Completion of the deal is subject to the usual regulatory approvals and conditions.