Hoechst, Courtaulds complete fiber merger
PATRICIA L. LAYMAN · Chemical & Engineering News · 1994
U.K. fibers maker Courtaulds and German chemicals and fibers giant Hoechst have finalized their joint venture in viscose rayon and acrylic fibers in Europe. The merged business—which started operations at the beginning of the month—becomes the second largest European producer of cellulosic fibers, just behind Austria's Lenzing. The two companies reached agreement in principle on the merger in May 1993 (C&EN, May 31,1993, page 14). It took nearly a year to iron out all the details and to gain governmental approval for the venture. Courtaulds owns 72.5% of the venture. After five years, the agreement also gives Courtaulds options on the share held by Hoechst. Combined sales of the venture are about $540 million, $345 million of it from Courtaulds. Net assets total slightly less than $160 million, with an annual profit of about $17 million. The venture merges Courtaulds' viscose and acrylic fiber operations at Grimsby and Bradford in England and its acrylic fibers ...