COLOMBES, France—Bostik S.A. has agreed to acquire Ashland's Performance Adhesives business in a deal that was finalized earlier this month. This acquisition aligns with Bostik's goal of increasing market share as a pure specialty materials player by 2024 and supports its plan to specifically grow its industrial performance adhesives footprint globally.
With its large range of key technologies and well-known brands, Ashland Performance Adhesives has been a player in pressure-sensitive adhesives in the U.S., operating in high-growth applications, and in particular in decorative, protection and signage films for automotive and buildings.
This is what made the company an ideal fit for Bostik.
"The business itself is highly complementary to what we do, and it is also very profitable, which was (appealing)," said Richard Lelievre, senior vice president and head of Bostik's Advanced Packaging Business Unit. With its segment's sustainable and high-performance solutions, its solutions will represent high-tech offerings that will help the company grow in the pressure-sensitive adhesives sectors across the globe, he said.
Ashland also holds significant positions in structural adhesives in the U.S., in particular in segments such as wood bonding for construction, composites and transportation. Wood bonding is a particular need in the U.S. and is another example of the expanded service and product reach that the acquisition will afford France-headquartered Bostik.
"Structural additives is a great market and (Bostik) now more effectively provides global solutions to global OEMs (in those sectors)," said Guillaume Desurmont, senior vice president and head of the Durable Goods Business Unit. This will allow Bostik to complement its positions and benefit from fast-growing demand within major sustainable trends.
Bostik, a world leader in industrial adhesives, was acquired by Arkema in 2015 as part of the parent company's efforts to grow its specialty chemicals business. Bostik had worked with Ashland Performance Adhesives in the past and knew the company offered a wide range of adhesives for flexible packaging, addressing growing demand for more sustainable products.
The two companies maintained a valuable working relationship for many years and previously have partnered on projects, Lelievre said.
The acquisition also allows Bostik to expand its geographic presence in flexible lamination, another growth market for the company.
"We thought for some time there would be an opportunity to partner with (Ashland) so it is not a surprise," Lelievre said. Both companies began discussing an acquisition in April—and given the familiarity between the two organizations, the deal took less than five months to finalize.