OM Group Bolsters Specialty Chemicals Segment with Acquisition of Rahu Catalytics
CLEVELAND, Jan. 4, 2012 /PRNewswire/ -- OM Group, Inc. (NYSE: OMG) today announced that it has purchased Rahu Catalytics Limited, the developer of a unique iron-ligand based chemistry for use in environmentally friendly coatings, composites and inks from Unilever Ventures and Management. The transaction includes all related intellectual property rights and master patents, as well as all manufacturing and supply agreements. Terms of the transaction were not disclosed.
Since its founding in 2006, Rahu Catalytics has focused on the need for solutions that incorporate more renewable materials and deliver performance at lower energy, water and waste costs in the coatings industry. Since early 2009, the company has operated under an exclusive commercial agreement with OM Group with regards to its Borchi® OXY-Coat product line, which is being utilized by the market leaders in the global coatings industry.
"We are excited to formally incorporate this innovative product into our portfolio of sustainable solutions for the coatings industry," said Joseph Scaminace, OM Group's chairman and chief executive officer. "There is an ever-increasing need for environmentally friendly coatings, composites and inks throughout the world. Today's action will allow us to accelerate our ability to address this need and further solidify our leadership position in the growing coatings industry."
ABOUT UNILEVER VENTURES AND MANAGEMENT
Formed in 2002, Unilever Ventures (UV) is the European venture capital arm of Unilever (LON: ULVR). UV has funds under management of euro 120M and a current portfolio of 17 businesses, originating both externally and from within Unilever. Wholly-owned and funded by its parent, UV operates as an independent VC Fund, and is regulated and authorized by the UK Financial Services Authority.
UV invests in early stage technology driven consumer and B2B facing companies across Europe, seeking investments which could; become strategically relevant to Unilever, benefit from access to Unilever's IP assets and capabilities, or provide high-value services to Unilever.
ABOUT OM GROUP, INC.
OM Group, Inc. is a leading global solutions provider of specialty chemicals, advanced materials, electrochemical energy storage, magnetic materials and unique technologies crucial to enabling our customers to meet increasingly stringent market and application requirements. The company serves a wide variety of sectors, including rechargeable batteries, electronic devices, cutting tools, petrochemical catalysts, electronics manufacturing, industrial coatings, defense, aerospace, medical devices, alternative energy, automotive, electrical installation, and energy conversion and distribution. Headquartered in Cleveland, Ohio, OM Group operates manufacturing facilities in the Americas, Europe, Asia and Africa. For more information, visit the company's website at www.omgi.com.
The foregoing discussion may include forward-looking statements for purposes of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon specific assumptions and are subject to uncertainties and factors relating to the company's operations and business environment, all of which are difficult to predict and many of which are beyond the control of the company. These uncertainties and factors could cause actual results of the company to differ materially from those expressed or implied in the forward-looking statements contained in the foregoing discussion. Such uncertainties and factors include: the ability to successfully integrate the acquisition of Vacuumschmelze GmbH & Co. KG; the operation of our critical business facilities without interruption; the effect of non-currency risks of investing and conducting operations in foreign countries, including political, social, economic and regulatory factors; the availability of competitively priced supplies of raw materials, particularly cobalt and certain rare earth materials; the speed and sustainability of price changes in cobalt; the potential for lower of cost or market write-downs of the carrying value of inventory necessitated by decreases in the market price of raw materials or the selling prices of the company's finished products; the direction and pace of our strategic transformation, including identification of and the ability to finance potential acquisitions; the potential impact that a deterioration in global economic and financial market conditions may have on our business and operations, including future goodwill impairments; the impact on pension accounting if actual results differ from actuarial assumptions; the effect of changes in domestic or international tax laws; the effect of fluctuations in currency exchange rates on the company's international operations; the demand for metal-based specialty chemicals and products in the company's markets; the impact of environmental regulations on our operating facilities and the impact of new or changes to current environmental, health and safety laws on our products and their use by our customers; and the general level of global economic activity and demand for the company's products.
SOURCE OM Group, Inc.