Stepan Co. announced that it has entered into an agreement to acquire the surfactant business and associated assets of PerformanX Specialty Chemicals, LLC. The acquisition will include intellectual property, commercial relationships, and inventory. The definitive agreement is subject to normal closing conditions, and the transaction is expected to close in the third quarter of 2022.
"PerformanX is a strong strategic fit within Stepan's Surfactants business and provides attractive market diversification opportunities for our alkoxylation product line," said Scott R. Behrens, president and chief executive officer of Stepan Co. "The acquisition of PerformanX's business should increase annual revenue by approximately $20 million and be accretive to Stepan's EBITDA margin. We look forward to welcoming PerformanX's customers to Stepan by continuing to provide the same high level of quality and service to which they have been accustomed."
In 2021, Stepan Co. announced plans to build and operate a new alkoxylation plant at its existing Pasadena, Texas, facility. Alkoxylates are a core surfactant technology critical to the agricultural, oilfield, construction, pulp and paper, lubricant, and household end use markets. Stepan's $245 million investment is expected to provide flexible capacity of 75,000 metric tons per year, capable of both ethoxylation and propoxylation, and positions the company to serve the growing global demand of its surfactant and polymer businesses. The new alkoxylation capacity in Pasadena, Texas, is expected to come online in early 2024.
For more information, visit: www.stepan.com.