Artek US, a Praana Group Company, Acquires Energy Division from Kemira to Form Strategic Merger with Sterling Specialty Chemicals
Artek US, a leading player in the global specialty chemicals industry and a subsidiary of the Praana Group, has successfully acquired the energy-related division from Kemira, for approximately USD $280 million to form merger with Sterling Specialty Chemicals. The company had revenue in 2023 in excess of $600 million. This acquisition marks a pivotal moment for the group as it positions itself for growth and global expansion in response to the increasing demand for water, energy, and sustainable solutions worldwide.
"This strategic acquisition aligns perfectly with our vision of creating innovative solutions for the challenges faced by our planet. Our combined strength at Sterling Specialty Chemicals will not only enhance our market position but will also contribute to the global efforts for a more sustainable and efficient future. Sterling Specialty Chemicals envisions significant financial growth from this transaction as well," Praana Group Board, Vice Chairman, Vishal Goenka said of the acquisition.
The acquired Energy division will be seamlessly integrated with Sterling Specialty Chemicals. This strategic alliance aims to create a dynamic, robust global specialty chemicals business, capitalizing on the growing necessity for secure, affordable, and sustainable energy solutions. "The merger is not only a strategic move for business expansion but also underscores Sterling Specialty Chemicals commitment to driving positive change in the industry," said Pedro Materan, President & CEO of Sterling Specialty Chemicals.
Sterling Specialty Chemicals will be able to bring value to their customers throughout the entire Energy value chain - from exploration to refining. Reducing water and energy consumption while transporting fluids in oilfields, extracting more oil with reduced CO2 emissions with polymer flooding, and providing clean water and restoration of tailing ponds in oil sands and we will be strongly positioned to support customers in the energy transition.
"This strategic move positions us as a major player in the global specialty chemicals landscape. Our combined expertise, resources and commitment to innovation will enable us to provide cutting-edge solutions to address the world's pressing needs for water, energy and sustainability," added Mr. Materan.
Sterling will continue to expand from its leading position in the energy rheology modification market, chemical enhanced oil recovery and the Canadian energy tailing water and selected industrial applications. The company looks forward to the opportunities that lie ahead and is committed to being a catalyst for positive change in the industry.
Sterling Specialty Chemicals was born in 2020. The facility, formerly owned and operated by Baker Hughes, retained most employees through the transition and added new team members to enhance capabilities and effectiveness. Sterling remains a fully diversified and seasoned chemical manufacturer. As a member of the Artek Industries family, they are part of their global network of chemical manufacturing companies connected through Artek's wealth of knowledge and expertise. Their mission is to continue growing and diversify their business while retaining satisfied customers by consistently delivering products on time and on spec. www.sterlingspec.com
Artek Surfin Chemicals is a leading provider of general metal finishing, electro-coloring, precious platings, and multi-layer PCB platings, offering user and environment-friendly solutions that drive business success. Our relentless commitment to research, development, and global alliances ensures a comprehensive range of surface finishing processes supported by state-of-the-art equipment. www.artekchemicals.com
Kemira is a global leader in sustainable chemical solutions for water-intensive industries. We provide the best-suited products and services to improve our customers' product quality, process, and resource efficiency. Our focus is on pulp & paper, water treatment, and energy sectors. In 2022, Kemira had annual revenue of around EUR 3.6 billion and around 5,000 employees. Kemira shares are listed on the Nasdaq Helsinki Ltd. www.kemira.com
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