By TT News| Nov 26, 2021

Cabot Corporation Acquires Tokai Carbon’s Carbon Black Plant In China

Cabot Corporation has entered into an agreement with Tokai Carbon (Tianjin) to acquire its carbon black manufacturing facility in Tianjin, China, for USD 9 million.

Through this deal, Cabot intends to grow its battery material production line while serving existing carbon black customers. Cabot also plans to conduct technology upgrades to the plant to enable it to manufacture conductive carbon black for battery materials and other carbon black products while meeting environmental standards. Currently, the site has the capability to produce up to 50,000 metric tonnes of carbon black annually. The deal is expected to be closed in the second fiscal quarter of 2022.

Sean Keohane, President and CEO, Cabot Corporation, said, “The acquisition of Tokai Carbon (Tianjin) is a natural extension for us as it aligns with our strategy to strengthen our global leadership positions while pursuing advantaged growth opportunities in high-growth, high-performance markets such as battery materials. With this acquisition, we will be better positioned to deliver solutions to meet the rapidly increasing demands for lithium-ion batteries and will do so by operating responsibly and investing in advanced environmental controls to reduce our impact.”

Hajime Nagasaka, President and CEO, Tokai Carbon, said, “We are very pleased to transfer the business to Cabot and wish the employees great success with the new owner.” (MT)

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