Kaneka to acquire resin supplier Applied Poleramic to enter aerospace business
Japanese company Kaneka’s wholly owned subsidiary Kaneka Americas Holding (KAH) has entered a stock purchase agreement to acquire Applied Poleramic, a formulated advanced resin supplier in the aerospace area.
Under the agreement, KAH will acquire all of API's stocks for nearly $15m.
After completion of the acquisition, subject to approval by the Committee of Foreign Investment in the US and other customary conditions, API will become a consolidated subsidiary of KAH.
Established in 1992, API owns formulated advanced resin technology to develop high-performance composites, which are supplied to original equipment manufacturers (OEM) and other subcontractors.
Kaneka also delivers high-performance materials, including Polyimide films (Apical) and resin modifiers (Kane Ace MX) to the same key end-customers.
The company expects that the acquisition will enable it to achieve an accelerated synergistic growth through the integration of advanced core technologies of both companies.
Due to its better weight to strength ratio, heat-resistance and durability compared with metals and metal alloys, the demand of high-performance composites is increasing to manufacture engines, hot areas of the aircrafts, rockets, and launch vehicles.
The company anticipates that this sub-segment of the general structural composites market to grow by more than 10% annually within the next decade or exceed $2bn in market value.
Kaneka will continue to seek partnership, merger and acquisition opportunities to strengthen its market position of high-performance composites in the area of aerospace.
By 2025, it aims to achieve more than $200m in sales.