Lanxess' Polyurethane Business Acquired By Japanese Chemical Company UBE

   LANXESS's polyurethane systems business, with a history of over 70 years, specializes in the research and development and production of high-performance polyurethane resins, which are widely used in high-end fields, including the semiconductor industry. The acquisition involves 11 LANXESS subsidiaries, including Chemtura (China) Investment Co., Ltd. in Shanghai, China, and LANXESS Advanced Materials (Nantong) Co., Ltd. in Jiangsu.

   UBE Co., Ltd. stated that this acquisition is an important step in its strategic investment in the specialty chemicals business. By integrating Lanxess's technical expertise, global talent pool, and extensive manufacturing capabilities, UBE plans to expand its polycarbonate diol (PCD) and polyurethane dispersion (PUD) businesses and strengthen its position in the high-performance polyurethane resin market.

  LANXESS has been continuously restructuring its business in recent years. The sale of its polyurethane systems business is a key step in optimizing its asset structure and focusing on its core businesses. LANXESS expects to receive proceeds of approximately €500 million (approximately RMB 4.03 billion) from the transaction, which will be used to reduce net debt and strengthen its balance sheet.

  On April 1, 2025, UBE Co., Ltd. announced the establishment of a new Merger and Acquisition Promotion Office, focused on acquiring unique technologies and resources through mergers and acquisitions to drive growth in the environment, health, and high-value-added sectors. This transaction marks a further expansion of UBE Co., Ltd.'s specialty chemicals business and provides a new opportunity for LANXESS' business transformation.