Arkema, Colombes, France, announced on Oct. 28 the proposed divestment of Febex, Bex, Switzerland, a company specialized in phosphorus-based chemistry, to Belgian group Prayon, Englis.
Arkema noted that Febex is a global player in phosphorus derivatives (high purity phosphoric acid, sodium hypophosphite, and derivatives), used primarily in electronics and in the pharmaceuticals industry. It said Febex has been a part of the Performance Additives Business Line, with little integration within the Arkema’s other activities.
Febex reported sales were around €30 million in 2021. It employs 59 people, and operates one site in Switzerland.
Arkema said by joining Prayon, an industrial group specialized in phosphorus-based chemistry, the Febex teams will benefit from the Belgian group’s growth ambitions in this area.
“We are delighted to be able to welcome Febex’s teams in the Prayon Group, to pool our expertise in phosphorus chemistry, and to study together the opportunities for growth beyond our existing activities,” said Geoffrey Close, Prayon CEO.
Prayon called Febex the European market leader for phosphoric acid in the electronics industry. It said with 97% of the shares held, Prayon will become the majority shareholder in the company. Prayon said Febex is the European leader in the production and sale of electronic-grade phosphoric acid used in the manufacture of printed circuits and semiconductors. It said with its ultra-pure phosphoric acid and state-of-the-art facilities, it also offers solutions that meet the highest standards of the pharmaceutical industry.
Prayon said the project marks an important step in strengthening its position in phosphorus chemistry. Prayon will enter the electronics market, which it said has strong growth potential in Europe and the US. The acquisition will also enable Prayon to enter the pharmaceutical sector, gain access to the polyphosphoric acid market, and broaden the range of industrial solutions downstream of purified phosphoric acid production, in which Prayon already participates in Europe.
Prayon is jointly owned by OCP of Morocco and SRIW of Belgium.
The deal is expected to be finalized in first-quarter 2023, and is subject to information and prior consultation process with employee representative bodies in France and to approval by the relevant Swiss authorities.