At the 2018 European UTECH show, Dow Polyurethanes vice president, Jon Penrice, said the company is looking for businesses that fit its high value-added market strategy.
Penrice said during the meeting, 'We have conducted a strategic evaluation. We are actively looking for opportunities for mergers and acquisitions.'
'We hope to accelerate the pace again. This is a good strategy' He explained: 'We hope Dow's polyurethane business will grow at a double-digit level, with 8-10% being our expectation.'
He said, 'Acquisition provides us with market channels and speed.'
'We are interested in obtaining technical support in CASE and composite materials.'
'Pipeline insulation technology... The comfort zone is also what we care about.' In the CASE field, protective coatings for truck floors, adhesives, etc. are all our goals.
Dow Chemical sees the system business as a way to move closer to the adhesive customers in the supply chain.
Penrice explained: “Dow Chemicals is a large company in the field of adhesives, as a raw material supplier. Dow Chemical is very interested in industrial and construction adhesives. Some elastomer manufacturers with high-tech, often Get higher profit margins.
The production of footwear products is shifting from Asia to Turkey and North Africa. At the same time, further advancement to the market is also of concern.
Composites are the areas of greatest concern, and are relatively small compared to the unsaturated polyester resin field, but processability and performance are present. Polyurethanes are in the gaps and are easier to process than epoxy resins. Polyester is higher. We have seen higher growth rates for composites in the automotive and industrial sectors.
Penrice added: 'Some small companies lack scale, but they have the ambition to become global. We can allow them to achieve global growth and expansion.'
'We also have a very flexible approach to M&A. They can become joint ventures, marketing alliances. We are not dogmatic. We want entrepreneurs to be in it and want to continue, but we can help them scale up and join us Can make them grow faster.'