FORT WORTH, Texas—Japanese carbon black firm Tokai Carbon Co. Ltd. has agreed with Fort Worth-based Sid Richardson Carbon Ltd. to acquire 100 percent of Sid Richardson’s assets, according to Tokai.

Tokai said the acquisition includes Sid Richardson and two affiliated companies. It said the proposed purchase price is about $310 million and will be financed through bank loans. Tokai announced the acquisition at a June 26 board meeting of its board of directors, according to a Tokai Acquiring Sid Richardson, it is a major step in Tokai’s plan to become a global player in carbon black. According to a PowerPoint presentation, the acquisition will make Tokai the world’s fifth-largest carbon black manufacturer, with nine production plants worldwide and an annual capacity of 937,000 tons.

“Carbon black is a cornerstone of Tokai Carbon’s business, and one that we intend to grow over the mid-to long term,” Tokai said in a press release.

The company said Tokai is already one of Asia’s largest producers of furnace black, which is made from petroleum and coal tar base oil. It manufactures furnace black at its facilities in Japan, China, and Thailand.

According to Tokai, Sid Richardson is the leading manufacturer of furnace black in the U.S. It has three production plants: in Big Spring and Borger, Texas, and Addis, Louisiana.

According to Tokai, Sid Richardson counts Bridgestone, Michelin, Goodyear, and Continental among its customers, and its state-of-the-art production facilities give the company cutting-edge technology in utilizing lighter feedstock oil.

“The acquisition of Sid Richardson Carbon will support Tokai Carbon’s expansion into the North American market, the second-largest market after China,” Tokai said.

The Japanese company said Tokai previously entered the North American market with its 2014 acquisition of Canadian carbon black manufacturer Cancarb. That acquisition also brought Tokai into the market for thermal black, which is made primarily from natural gas.

It said Tokai plans to complete its Sid Richardson purchase in early September.

Tags:

Bridgestone,

carbon black,

Continental,

Goodyear,

Michelin,

Sid Richardson Carbon,

Tokai Carbon Co.

Carbon Black Sales - Moving Head Office to Japan

Tokai Carbon to Acquire Sid Richardson

Global Carbon Black Market 2025-2030: Trends, Forecast, and Opportunity Analysis

Global Carbon Black Market - Segmented By Type, Application and Geography - Trends And Forecasts (2015-2020)

Worldwide Carbon Black Market Over 12 Million Metric Tons by 2015

Carbon Black – Description, Market Prospects, Industry History

Carbon Black - An Outlook for Opportunities

Evonik Completes Divestment of its Carbon Black Business