RESEARCH TRIANGLE PARK, N.C. (Aug. 20, 2008) — The Dow Reichhold Specialty Latex L.L.C.joint venture of Dow Chemical Co. and Reichhold, Inc. plans to close all facilities and dissolve before the end of the year.
The companies didn't give a reason for their decision. The global business, which billed itself as the world's largest specialty latex maker, employs 203.
Dow Chemical intends to buy back the business assets it originally contributed to the 50-50 venture when it formed January 2002, Dow Reichhold said, and will service the respective customers directly in the future. The sale is expected to close within 30 days.
Dow Reichhold also plans to sell other business assets originally contributed by Reichhold.
The company makes synthetic latexes used in adhesives, construction products, textiles and apparel products, synthetic latex gloves and dipped goods, flooring, automobiles, tapes and specialty papers and nonwovens.
Dow Reichhold said it will shut down its headquarters in Research Triangle Park; a factory in Cheswold, Del.; Asia/Pacific offices in Penang, Malaysia; and a laboratory and office in Shanghai, China.
Previously the firm announced it would close its manufacturing operation in Chickamauga, Ga. Last month the firm announced it was relocating its office in Penang to another site in the city, and increased latex prices in response to rising raw material costs.