Songwon acquires Additives Technology Greiz and takes a leadership position in the delivery of One Pack Systems

Ulsan, Korea – December 13, 2011 – Today, at the Annual GPCA forum 2011 in Dubai (UAE), Songwon Industrial Group has announced it has acquired Additives Technology Greiz (ATG), one of Europe’s largest manufacturers of One Pack Systems (OPS) products for the polymer industry. ATG’s manufacturing plant is located in Greiz (Germany) and has produced dust free polymer additive packages since 2006. The terms of the acquisition were not disclosed.

One Pack Systems (OPS) products combine several additives into an integrated dust free, pellet form. Songwon’s OPS products, which are sold under the Songnox® OPS brand, are custom formulated and offer a number of key advantages such as uniformity and certified composition. The market for OPS has been enjoying consistent growth as compounders and polymer producers continuously search for added value and more efficient production technology. Demand for Songnox® OPS has increased in applications which require highly dispersed additives that result in improved product performance.

“This acquisition is a landmark step for Songwon”, stated Jongho Park, Chairman and CEO of Songwon Industrial Group. “We promised our customers that we would meet their demands and we will now be able to deliver Songnox® OPS in significant volumes immediately with the ability to expand the annual capacity up to 12.000 tons in the future. Our customers will also benefit from a broader range of technologies which we will combine with our own expertise to deliver new and more cost effective solutions based on our fully backward integrated stabilizer production.”

Doug Excell, Vice President of Business Management for Main Antioxidant Blends and OPS will take responsibility for the integration of ATG into the Songwon business structure. He added: “I am delighted to be able to bring to the market a range of Songnox® OPS products that will improve our customer’s quality and additive handling, as well as reducing their overall production costs.”

Peter Schmitt-Freise, one of the three previous shareholders of ATG, stated: “ATG has progressed very well since its foundation 5 years ago delivering a double digit annual growth rate and constant expansion of its market share. The business still has very significant growth potential, however, we recognized that to pursue this opportunity we would need additional resources to move from a local to a global player.

Songwon is the right strategic partner to implement the business growth, leveraging its financial strength, global reach, sales network, applications expertise and, most importantly, its back integration in the production of antioxidants, a key component for OPS. We are proud of ATG’s development up to now, and want to ensure a great future for the OPS activities we developed.” Doug Excell, concluded: “While we are integrating ATG into the Songwon organization, we are already actively working to expand our presence in OPS globally with the aim to offer our global customers access to a network of local OPS manufacturing activities that will leverage our superior leading edge technologies worldwide.”

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