Business Concentrates MERGERS & ACQUISITIONS
▸ Big M&G project is struggling Mossi and Ghisolfi’s (M&G) big surface polyethylene terephthalate (PET) project in Corpus Christi, Texas, is in trouble. Contractor Fluor Enterprises has given notice to the State of Texas that it is laying off 274 workers who are building the plant. This follows comments from rival Alpek, which has a contract to buy 500,000 metric tons of PET per year from the facility once it is completed. Alpek doubts M&G can complete the plant. Also, the Mexican company is cutting off supplies of the raw material purified terephthalic acid to M&G at other locations because of nearly $50 million in unpaid bills. Earlier this year, contractors working on the Corpus Christi unit filed liens in Nueces County, Texas, against M&G for nonpayment.—ALEX TULLO
POLYMERS
▸ Arkema expanding fluoropolymers Arkema is expanding its polyvinylidene fluoride plant in Calvert City, Ky., by 20%. The polymers are used in solar panels,
PVDF is used in solar panels. water filtration, chemical processing equipment, and high-performance cables. The company completed an expansion in Changshu, China, earlier this year. It expects to finish the U.S. expansion next year.—ALEX TULLO
INORGANIC CHEMICALS
▸ PQ launches initial public offering Silicates and zeolite catalyst maker PQ has launched an initial public offering
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C&EN | CEN.ACS.ORG | SEPTEMBER 25, 2017
Clariant, Huntsman spar with activist investor Activist investor White Tale Holdings has increased its stake in Clariant to 15% to further its campaign to break up the company’s merger with Huntsman Corp. In a letter to Clariant’s board, White Tale, a venture of hedge fund Corvex and investment fund 40 North, says the deal “both significantly destroys existing Clariant shareholder value and prevents Clariant from pursuing multiple alternative and immediate opportunities to unlock value for its shareholders.” The investor says Clariant should instead sell its plastics and coatings business and become a pure-play specialties company. Clariant defends the deal, saying Huntsman has evolved into primarily a specialties business and is a good fit. Further, it claims the pairing creates substantial value for shareholders, will save $400 million a year in costs, and provides an opportunity to further adjust its combined portfolio. Huntsman also struck back, saying, “In an apparent effort to engineer a short-term rise in the Clariant stock price, White Tale has advanced a destructive, high risk strategy of dismantling Clariant and denying all other stakeholders of the company the sustainable, long-term benefits of this compelling combination.”—MELODY BOMGARDNER
of 33 million of its shares—about 30% of shares outstanding—hoping to raise as much as $767 million at a maximum share price of $23.00. Proceeds will be used to pay down debt. The firm initially planned to go public in 2014. Instead, owner Carlyle Group sold a stake in the company to private equity firm CCMP. Last year, CCMP arranged a merger of the former Solvay sulfuric acid business with PQ. In 2016, PQ had a loss of nearly $80 million on sales of $1.4 billion. Credit ratings agency Moody’s calls the offering “credit positive” for PQ.—MARC REISCH
ENERGY STORAGE
▸ Albemarle has new lithium technology Albemarle says it will be able to increase its lithium production in Chile’s Salar de Atacama using new, more efficient technology for extracting the mineral from brine. If the process proves commercially viable, it will help the company extract as much as 125,000 metric tons per year of lithium carbonate equivalent from the brine starting in the early 2020s; its current annual production is 80,000 metric tons. Albemarle has asked the Chilean Economic Development Agency to increase its lithium quota.—MELODY
BOMGARDNER
INVESTMENT
▸ Air Products plans Saudi Arabia labs Air Products & Chemicals plans to build a technology center in Saudi Arabia focused on providing industrial gases expertise to local customers. The center, to be completed in 2019, will also become a base of collaboration with local universities, the company says. Separately, Cabot has opened a 4,500-m2 technology center at its regional Shanghai headquarters. About 30 researchers will support customers for Cabot’s specialty carbons, fumed metal oxides, ink-jet colorants, and other product lines.—MARC REISCH
SPECIALTY CHEMICALS
▸ Emerald completes benzoic expansion Emerald Kalama Chemical has completed a $40 million benzoic acid and benzaldehyde expansion in Rotterdam, the Netherlands. The company says the expansion will support its hexyl cinnamic aldehyde (HCA) and amyl cinnamic aldehyde (ACA) plant in Widnes, England, which it acquired from Innospec in 2015, by providing it with additional benzaldehyde raw material. Benzaldehyde, HCA, and ACA are used as fra-
C R E D I T: A R K EM A
INVESTMENT
