Amid the announcements earlier this month about Clariant’s (Muttenz, Switzerland) significantly improved EBITDA margin and better cash flow in the second quarter on 2015, was tucked in a piece of news about the Plastics & Coatings business. In order to “fully leverage their value creation potential for the company,” Clariant is establishing a subsidiary for the Business Area Plastics & Coatings comprised of the Business Units Masterbatches, Additives and Pigments. As a separate entity, Plastics & Coatings will be better able to be steered towards higher absolute profitability and cash generation. The new subsidiaries across the world will be fully owned by Clariant and will start operating as of January 1, 2016.
Clariant says that, in the last few years its Business Units Masterbatches, Pigments and Additives have established themselves as leaders in their respective markets in terms of profitability and market share. “The new Plastics & Coatings subsidiary will further enable differentiated business steering with a clear focus on absolute profitability and cash generation to further safeguard and improve competiveness in already mature markets. This set up will further increase value creation for the Group. That is why, the entity will remain a vital part of the Group,” said CEO Hariolf Kottmann. “This step will also enable us to make appropriate investments in our growth areas”, he added.