Westlake Chemical Corp. (NYSE: WLK) has acquired Hexion‘s global epoxy business for an estimated $1.2 billion.
Hexion’s epoxy business is a manufacturer and developer of specialty resins, coatings and composites for a variety of industries. The firm operates globally across three continents with eight manufacturing facilities and five R&D labs.
Westlake intends to expand its integrated business through the addition of a downstream portfolio of coatings and composite products provided by Hexion with its leading chloro-vinyl business.
“Light-weighting is a critical feature for the manufacture of structural components for automobiles and for renewable energy, particularly the composite blades used by wind turbines, and epoxies are key ingredients for these sustainable products,” said Westlake president and CEO Albert Chao. “The industries served by Hexion Epoxy are very attractive to Westlake and the business is expected to be a synergistic addition to Westlake’s existing businesses.”