A private equity firm is buying BASF’s plant in Kankakee, IL and several businesses related to the site.

Powder Bulk Solids Staff

December 17, 2020

2 Min Read
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Image courtesy of BASF

German chemicals and materials firm BASF announced Thursday that it has entered into an agreement to sell its production plant in Kankakee, IL and related vegetable-oil-based material sterols and natural vitamin E, anionic surfactants, and esters businesses to private equity firm One Rock Capital Partners LLC.

The facility and its businesses were purchased by BASF in 2010 from Cognis and operated by its Nutrition & Health and Care Chemicals divisions. Following a market review, the company decided to sell the site because it no longer fits BASF’s strategy.

“With this divestment, we are sharpening the profile of our human nutrition business, to which we remain firmly committed, with focus on creating superior food ingredients and formulations that meet challenges and needs of continuously evolving lifestyles,” Dr. Melanie Maas-Brunner, president of BASF’s Nutrition & Health division said in a company release.

The impacted businesses employ about 160 workers, including business management and commercial personnel, in the US.

“This is a further step to optimize the global manufacturing footprint of our division,” the president of BASF’s Care Chemicals division, Ralph Schweens, said in a statement. “I am glad that, with One Rock Capital Partners, we have found a promising new home for our Kankakee site and the team.”

BASF hopes to complete the transaction in the first half of 2021 pending the completion of regulatory approvals. The company did not reveal the terms of the deal.  

“Our intention is to transform the business into a strong standalone enterprise poised for significant growth,” said R. Scott Pielvogel, managing partner of One Rock Capital Partners.

Following the divestiture, BASF will continue to manufacture anionic surfactants for home care, personal care, and the industrial formulators industries at other facilities across its footprint.

About the Author(s)

Powder Bulk Solids Staff

Established in 1983, Powder & Bulk Solids (PBS) serves industries that process, handle, and package dry particulate matter, including the food, chemical, and pharmaceutical markets.

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