OEP Investment in Columbian Chemicals
Making a Difference
Columbian Chemicals is one of the world’s top three providers of high-quality carbon black additives for rubber, plastic and liquid products. Based in Marietta, Georgia, Columbian Chemicals has a global footprint of 11 carbon black plants in 9 countries throughout North America, South America, Western Europe, Eastern Europe and Asia.
Carbon black is a proven technology with no economically viable substitutes and with high barriers to entry due to high invested capital and technology. Columbian Chemicals has been in business for more than 100 years and currently serves 500 customers globally, many of whom are investing heavily in key emerging markets. It was imperative for Columbian Chemicals to deepen geographical reach together with its customers.
Investment and Vision
OEP worked closely with Columbian Chemicals’ seasoned management team to significantly expand its presence in key emerging markets including Brazil, China and Hungary in order to meet global customer requirements both in terms of proximity to customers and product offering at each location. With 50% of its capacity in emerging markets, Columbian Chemicals entered into a strategic discussion with Aditya Birla Group of India and agreed to become an important part of this global leader in the carbon black industry in June 2011.