Arkema looks to grow footprint with Permoseal acquisition

COLOMBES, France—Arkema S.A., a global specialty chemicals supplier, will look to increase its footprint in South Africa and sub-Saharan Africa with the proposed acquisition of Permoseal.

Permoseal, expected to become part of Arkema Adhesives Solution, develops solutions in the woodworking, packaging and construction spaces.

The bolt-on transaction is expected to be finalized in the second quarter of 2022, Arkema said in a Dec. 16 press release.

Permoseal is based in Cape Town and offers the Alcolin brand, expected to complement Arkema's Bostik brand.

Permoseal had estimated sales of $49.73 million in 2021, according to Arkema, and operates two production plants in South Africa.

"The complementary product portfolios will allow Bostik to broaden its customer offering in the South African construction market, and continue its expansion in the region, benefiting in particular from growing demand in the building renovation market," Arkema said. "The project will also enable Bostik to consolidate its position in packaging adhesives, and expand its offering of sustainable solutions for the industrial sector in the South African market."

Permoseal products are found in wall and floor preparation, renovation and waterproofing.