Pune-based Sudarshan Chemical Industries has bought the natural mica pearlescent business from Eckart Effect Pigments, a division of Altana AG,a € 1.5 billion German speciality chemicals group, Economic Times reported on 16 January.
The buy comprises Eckart's brands Prestige and Flonac - C, produced at its plant in Pori, Finland. These pigments are used in the cosmetics business.
The Rs 700 crore Sudarshan, a speciality chemicals maker with a plant at Roha, Konkan, on Maharashtra's coastal strip, will add the new pearlescent product lines to their existing pearlescent pigment portfolio sold under the Sumicos brand name. Sudarshan has acquired only the brands and some critical assets which it will ship to India.
Sudarshan Chemicals is a manufacturer of industrial, cosmetics and agro chemicals in which the Japanese company Dai Nippon Ink and Chemical holds an 8% stake but has no management stake. Sudarshan has been expanding in global markets since 2008, setting up wholly-owned subsidiaries in North America and Europe with plans to open sales offices in Asia Pacific and Latin America.
The agreement to sell the cosmetics portfolio based on natural mica was signed between Eckart and Sudarshan on 15 December 2011, with the latter taking over the business from 24 January, 2012.
After divesting its cosmetics line, Eckart will focus on its core businesses of metallic effect pigments and pearlescent pigments based on borosilicates and synthetic mica. The division posted revenues of €282 million in 2009, according to its website.