This was taken from Themsta, 19/10/2015. post 16208342.
AUGUST 29 2014 ALBEMARLE AND ICL TO FORM POLYMERIC FLAME RETARDANT MANUFACTURING JOINT VENTURE
August 29 2014
(TEL AVIV, ISRAEL and BATON ROUGE, LA USA) – August 29, 2014 - Albemarle® Corporation (NYSE: ALB) and ICL (TASE:ICL) announced today that the two companies have entered into an agreement to establish a manufacturing joint venture for the production of ICL’s FR-122P polymeric flame retardant and Albemarle’s GreenCrest™ polymeric flame retardant. These flame retardants are designed to replace hexabromocyclododecane (HBCD). HBCD has been the leading flame retardant used in expanded (EPS) and extruded (XPS) polystyrene foam applications, but is being phased out in the European Union (EU), Japan and other countries.
The joint venture and its partners will own and operate a 2,400 MT per year Netherlands plant, which is currently operating, and a 10,000 MT per year Israel plant, which is scheduled to come on line in the 4th quarter of 2014. Both plants are located at ICL sites as previously announced by ICL. The joint venture will enable additional capacity to be brought to the market to meet the growth needed for the EU and the rest of the world following the phase out of HBCD from these markets. The transaction is subject to certain closing conditions, including regulatory approvals, and is expected to close in 2015.
“The joint venture will allow Albemarle to continue providing its GreenCrest branded product to customers while joining forces with a proven manufacturing partner in ICL,” said Troy De Soto, Albemarle’s vice president, Fire Safety Solutions. “The combined experience and know-how related to bromine and bromine derivatives of Albemarle and ICL will ensure a reliable, high quality alternative offering to HBCD in the EPS/XPS segment. In addition, Albemarle brings its financial backing and GreenCrest product manufacturing experience to the venture.”
AJX Price at posting:
91.5¢ Sentiment: Buy Disclosure: Held
