Sika closes Master Builders deal with former Chryso underwriter

The parent of New Jersey-based Sika Corp. has consummated two transactions on its European home turf, both continuing a global concrete admixtures business transformation that began with 2021-22 Saint-Gobain Group deals for Chryso Group and GCP Applied Technologies. Sika AG of Baar, Switzerland acquired MBCC Group of Mannheim, Germany, then sold the Master Builders Solutions brand and MBCC assets in North America, U.K., Europe, Australia and New Zealand to Cinven Ltd., a London private equity operator and former Chryso owner. 

“Cinven is delighted to make this investment in a business we have long admired and whose progress we have followed closely,” says Partner Pontus Pettersson. “MBCC brings together a number of attractive qualities—it is a global leader in its sector, has great potential for further growth and innovation, and plays a key role in helping cement and concrete producers to reduce carbon emissions. We are looking forward to helping the business to realize its full potential through a long-term growth strategy.”

The Master Builders Solutions package spans admixture businesses in all five markets, plus construction systems—coatings and finishes—franchises in Australia and New Zealand. Cinven has appointed a Master Builders brand veteran, former BASF Construction Chemicals, Asia Pacific Head Dr. Boris Gorella, as chief executive officer. The North American units reporting to him are Master Builders Solutions Admixtures US LLC, Beachwood, Ohio and Master Builders Solutions Canada Inc., Montreal. 

“We are confident that Cinven’s successful prior experience of investing in the admixtures sector and its strong track record in carve-outs from companies in the Industrials sector in Europe will allow us to create significant opportunities for MBCC Admixtures as an independent business,” notes Cinven Partner Anthony Cardona. “This investment endorses our position as a leading partner for European industrial corporates looking to divest businesses to responsible, experienced and growth-oriented investors.”

Taking stock of additional MBCC construction systems offerings in North America and Europe, plus an expanded global portfolio overall, Sika AG CEO Thomas Hasler observes, “Thanks to our extensive experience in integrating companies, we will successfully bring Sika and MBCC together and combine our strengths to create the new reference in the construction chemicals industry.”

CATHAY + VENATOR REBRAND
Global iron oxide pigment player Cathay Industries, Singapore, recently announced a new identity, Oxerra Group, on the heels of acquiring the color business of U.K.-based Venator Materials Plc. Oxerra Group CEO Terence Yu calls Cathay Industries and the Venator colors unit “recognized world-class leaders in the color pigment industry with an unmatched manufacturing network across six countries on five continents. Oxerra propels us forward to provide unrivaled products and services in iron oxide and color pigment technology.”

The combination of each company’s offerings, he adds, positions Oxerra as a complete color solution manufacturer and provider of advanced, sustainable solutions in the highly technological and demanding construction, coating, plastic and specialty markets. The acquisition also significantly reinforces Oxerra’s leadership in the inorganic pigment industry and provides a synthetic iron oxide manufacturing presence in Europe and the United States, both strategically important for shortening the supply chain to provide optimal outcomes for customers. The newly designated Oxerra Americas business unit is based in Bartlett, Ill., near Chicago.

“Our emphasis on production excellence, customer solutions, and innovation are important tenets of Oxerra’s culture,” Yu affirms. “We can become the foremost leader in the iron oxide industry, providing a network that encompasses the globe with a concentration on sustainable, high-quality pigments for every application imaginable.”