Covestro has signed an agreement with Vencorex Holding SAS, a subsidiary of Thai chemical company PTT Global Chemical Public Co. Ltd, to acquire two legal entities with stand-alone production sites for HDI (hexamethylene diisocyanate) derivates in Rayong, Thailand, and Freeport, Texas. The legal entities and sites were formerly part of the French aliphatics specialist Vencorex. With this acquisition, Covestro strategically expands and improves its aliphatics production portfolio in the United States and in the Asia-Pacific region. This allows the company to advance the implementation of its "Sustainable Future" corporate strategy by continuing its growth in profitable and innovative business areas like coatings and adhesives.

Both parties have agreed not to disclose the purchase price. The transaction is expected to close by the end of 2025.

"The acquisition of these two former Vencorex sites fits perfectly to our portfolio and our strategic goals," said Christian Baier, chief financial officer of Covestro. "While we maintain cost discipline to secure our short-term performance, we strengthen our long-term competitiveness through targeted investments like this one.”

Covestro is a well-known supplier for of derivatives, an essential component in polyurethanes coatings, adhesives, and sealants. It can be found in a myriad of applications, like coatings and adhesives for cars, trucks, bridges, ships, wood furniture, and electronics, to name a few. Through the acquisition, Covestro complements its existing capacities in the United States, Germany, China, and India, among others.

"These new capacities in Thailand and the U.S. will augment our existing comprehensive production capabilities across all major regions. They will enable us to produce and deliver according to our customer’s demands even better, especially during current market challenges," says Thomas Roemer, Head of the Business Entity Coatings and Adhesives at Covestro. “After the acquisition of the Resins & Functional Materials (RFM) business from DSM and investments in organic growth this is yet another sign of confidence the company has in the coatings and adhesives business. I look forward to welcoming the new colleagues into our organization!”

Learn more about Covestro at www.covestro.com. 

Additional information about raw materials suppliers to the adhesive and sealant industry is available at ASI's raw materials and chemicals topics page.