Elkem to Acquire Basel Chemie

Recently, Elkem has announced that it planned to acquire Basel Chemie, a Korean producer of specialty silicone gels. The acquisition is expected to give Elkem access to leading technology in attractive end-user silicone segments and provide a solid platform for further development and growth.

Founded in 1999, Basel Chemie is a technology-driven downstream silicones producer with a high-end speciality portfolio for both skin care and color cosmetic applications, and water repellents for the construction industry.

Elkem will boost Basel Chemie's specialties through Elkem's global sales and distribution network, including access to and integration with offerings to current customers and new markets where Elkem is present. Basel Chemie will make Elkem a more comprehensive and attractive supplier within the cosmetics segment, and has an attractive product offering within building protection which can be leveraged outside Korea. The two companies will strengthen their research and development in both Asia and Europe and integrate their value chains.

"This acquisition will strengthen our position in downstream specialized silicones. Basel Chemie complements our market offering and brings additional technologies to our specialty portfolio in Asia where we have strong positions in other segments. This technology and offering also holds further global potential. Acquiring Basel Chemie is in line with our strategy to take further positions in selected, specialized silicone segments", says Helge Aasen, CEO of Elkem.

"Elkem expects to generate strong synergies from the acquisition within research and development, value chain optimization, complementary product offerings and global market positions, thereby providing greater momentum for driving continuous and rapid development of its silicones business ", says Frederic Jacquin, SVP Elkem Silicones.

Elkem is one of the world's leading suppliers of silicon-based materials with operations throughout the value chain from quartz to specialty silicones, as well as attractive market positions in specialty ferrosilicon alloys and carbon materials. It has production centers, R&D bases and sales offices across the world.