As reported by ILM on August 13, Lanxesss announced that it is selling its organic leather chemicals business to TFL Ledertechnik, a portfolio company of U.S. investment company Black Diamond Capital Management. Dr Peter Amann, CEO, TFL Group, said they look forward to “combining two world-leading leather chemicals businesses”, which will offer “an unparalleled range of high performing, innovative and sustainable solutions to the leather industry”. Amann said TFL’s enhanced scale will support the chemical supplier’s goal to build “the world’s top performing leather chemicals company” and significantly strengthens its finishing product portfolio and presence in the automotive industry.

The transaction, through which TFL is to acquire all of Lanxess’ organic leather chemicals business, is subject to the approval of the relevant authorities and is expected to close by mid-2021. Lanxess manufactures a broad range of leather chemicals at its plants in Leverkusen in Germany, Filago in Italy, and Changzhou in China and has a worldwide network of application-oriented laboratories and sales offices. With production facilities in Germany, Italy, France, Brazil, India and China and a presence in over 90 countries, the combined TFL and Lanxess leather businesses will employ around 1,200 people worldwide and have a turnover of approximately €450 million on a proforma basis.