7 Nov 2019

Perstorp breaks ground in India to significantly boost Penta business

New Gujarat Penta plant will secure a long-term presence in the growth region of Asia.
State-of-the-art plant for production of Penta, including the renewable grade, Voxtar™, providing up to 60% reduced carbon footprint.
Construction commenced in October this year, with commercial production planned to start in Q1 2022.

Malmö November 07, 2019 - Perstorp, a global leader in the specialty chemicals market, has unveiled plans to invest in the construction of a new Pentaerythritol (Penta) production facility in Gujarat, India. Representatives from the Perstorp Executive Leadership Team, were joined by government officials, employees and selected guests at a groundbreaking ceremony for the new plant, which was held on November 6. The world scale, green-field Gujarat plant will produce Penta, including the renewable grades of Voxtar^™, providing up to 60% reduced carbon footprint.

Construction of the Gujarat plant has started in October this year, with commercial production planned to start in Q1 2022. When fully operational, the site will employ 120 people. The investment will significantly expand Perstorp’s Penta production capacity, designed to produce 40 KT of Penta per annum from 2022.

Penta has a vast range of application areas being an essential building block ingredient in coatings, as well synthetic lubricants and antioxidants. The Gujarat investment will reinforce Perstorp’s ability to meet growing demand, particularly in Asian markets, as well as offering various Penta qualities including Penta Mono and Di-Penta and in addition Calcium Formate.

Jan Secher, President & CEO: “Perstorp is the global market leader in Penta and the market demand for these products is steadily growing. The new Penta plant in India marks a major milestone in our growth strategy and we are confident that this will not only increase the security of supply for current as well as new customers but also further strengthen our position long term as a sustainable and reliable partner in this region”.

“India is a strategic market with a growing demand for coatings. The expansion here is a perfect complement to Perstorp’s existing Penta production in Germany, the USA and Sweden. Already in February 2016, Perstorp signed a Memorandum of Understanding (MoU) with Maharashtra Industrial Development Corporation (MIDC), as a step in evaluating the opportunity to invest in a new world scale production plant for Penta here in India. However, after a thorough evaluation process, Gujarat was selected as the location, said Divakaran Kaiprath, Managing Director, Perstorp India.

Magnus Heimburg CFO, commented: ”As a chemical company, our strategy is to maximize value from our production plants, and find smarter ways to increase capacity within the existing facilities. However, this investment is critical for us to make a major leap in terms of growth. It is our firm belief that this is the right time and place to expand our business.”

Facts: Voxtar™

Voxtar™ was the world’s first renewable pentaerythritol (Penta) when introduced to the market in 2010. Voxtar™ comes in 40% and 100% renewable grades, which can reduce carbon footprint with up to 75%. Voxtar™ is based on a certified mass balance concept and the products come with a certificate, Proof of Sustainability, ensuring a traceability of raw material to the country or origin, as well as ensuring it has been sustainably sourced.

Leading the world in Pro-Environment Solutions

Pro-Environment Solutions are products that will contribute to making Perstorp Finite Material Neutral. Today these products are produced according to the mass balance concept. Criteria for the products in the Pro Environment Solutions portfolio are:

Renewable or partly renewable
Drop-in products
Reducing carbon footprint
Independently certified by ISCC

To download the full 2018 Annual Report, please click here.

™ Trademark of Perstorp Holding AB

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Notes for Editors

Perstorp believes in improving everyday life – making it safer, more convenient and more environmentally sound for billions of people all over the world. As a world leading specialty chemicals company, our innovations provide essential properties for products used every day and everywhere. You’ll find us all the way from your car and mobile phone to towering wind turbines and the local dairy farm. Simply put, we work to make good products even better, with a clear sustainability agenda.

Founded in Sweden in 1881, Perstorp’s focused innovation builds on more than 135 years of experience, representing a complete chain of solutions in organic chemistry, process technology and application development. Perstorp has approximately 1,350 employees and manufacturing units in Asia, Europe and North America. Sales in 2018 amounted to SEK 14.9 billion.

Learn more at www.perstorp.com