Reichhold, Inc., in conjunction with parent company, Dainippon Ink & Chemicals, Inc. (DIC), has agreed to complete the sale of its adhesives business to Forbo Holding AG, headquartered in Switzerland.
The intent to sell was originally announced in November 2001. Both parties expect to obtain the approval from the relevant authorities. DIC decided to divest Reichhold’s adhesives business, which has annual sales of approximately U.S. $250 million (30 billion yen) and approximately 600 employees, as part of the plan to restructure its overall business from the viewpoint of “Select and Focus.”
Earlier this year, Reichhold formed Dow Reichhold Specialty Latex, a 50/50 joint venture with Dow Chemical, and it sold its carpet/paper latex business to Dow as part of its restructuring plan, allowing it to refocusing on its core businesses: composites, coating and performance resins.