Clariant Closes $60M Deal for BASF’s US Attapulgite Assets

Specialty chemical firm Clariant announced Monday that its $60 million acquisition of BASF’s US Attapulgite business reached completion, expanding its position in the North American market. Under the terms of the deal, mining rights, land, a processing plant, and inventories will become a part of Clariant’s Functional Materials business and the attapulgite-based products will be supplied to BASF under a long-term agreement.

Attapulgite, an adsorbent clay, is used in the purification of edible oils and renewable fuels. The transaction provides additional capacity to Clariant and builds on the company’s existing portfolio of oil purification technologies. The company said the purchase also helps it to reach its sustainability goals.

“This acquisition is a perfect example of our disciplined approach to bolt-on acquisitions as it provides tangible synergies, strengthens one of our core segments, and brings us closer to our 2025 targets,” Clariant CEO Conrad Keijzer said in a release. “At the same time, the acquisition is another step forward in the energy transition away from fossil-based fuels.”

The business is one of North America’s biggest miners and processors of attapulgite, according to Clariant. Its assets include mining operations in Georgia and Florida and a processing plant in Quincy, FL.

“We are pleased with the completion of this acquisition in the US,” said Angela Cacovich, president of Adsorbents & Additives for Clariant, in a statement. “Along with a strategically valuable business, we also welcome 75 highly qualified professionals. Our increased presence in the region will allow for greater customer proximity and enhances our ability to meet the demands of an attractive, rapidly expanding market.”

BASF revealed plans to divest the business in January. A decision to divest the Quincy site was made after an in-depth review by the company determined that the best owner for the attapulgite business is a company with a experience in the mining industry. The business bought in sales of $36 million in 2020.