Africa, 7 June 2023 - DyStar, a leading specialty chemical company with a heritage of more than a century in product development and innovation, is announcing today the sale of its auxiliary manufacturing site located at Pietermaritzburg, Africa.
Oakland Polymers Pty Ltd, a local manufacturer, has acquired DyStar’s manufacturing facility and will take over the site to expand their polymer business. Under the sale and purchase agreement, DyStar divested the entire facility, which is approximately 12,000 sqm, to Oakland Polymers and Oakland Properties. DyStar Africa’s operations will continue to lease part of the premises from Oakland for office and warehousing use.
Mr. Xu Yalin, Managing Director, and President of DyStar Group said, “The sale of the manufacturing site at DyStar Africa is part of our ongoing efforts to reconsolidate our business resources in Turkey, Africa & Middle East (TAME) region, with a focus on improving productivity and utilization rates.”
Mr. Klaus Kadletz, Regional Vice President of DyStar in Turkey, Africa & Middle East (TAME) said, “In response to the current dynamic market, DyStar proactively explores a more cost-effective production environment to better support customers’ demand. In that respect, DyStar will enter a toll manufacturing agreement with Oakland to leverage on their expertise in chemical manufacturing. DyStar is determined to grow our production capability, without compromising quality as we scale.”
Mr. Nelson Govender, management representative of Oaklands Polymers said, “We are delighted to acquire the manufacturing arm of DyStar Africa. I strongly believe the acquisition gives both companies an opportunity to build stronger and robust synergies together as Oakland Polymer expands its footprint in the manufacturing sector in the coming days.”
As a result of the acquisition, all employees at the manufacturing site have already been informed. Compensation packages are offered to affected colleagues as well.
Customers have also been informed of undisrupted supply to their orders during the transition period and are further assured of a seamless customer journey going forward when the acquisition is completed.
DyStar remains committed to explore sustainable solutions as we strive to reconsolidate our business resources globally. We hope through the focused strategic actions can help DyStar achieves operational excellence in production and process flows, creating a seamless, yet effective customer experience for our stakeholders and supply chain.
For further information, please contact your local representative.
About DyStar
DyStar is a leading specialty chemical company with a heritage of more than a century in product development and innovation from the textile industry. Today, the company operates with more than 1700 employees spanning across 50 countries and with 13 production sites, supporting customers from diverse sectors and supply chains with reliable products and solutions.
DyStar is committed to sustainability. Our service supports the supply chain, including brands, retailers and their industry partners, to ensure that they meet stringent quality and ecological specifications in a cost-efficient way and with short lead times.
About Oakland Polymers
Oakland Polymers and Oakland Properties are newly set up companies under registered under LHL Engineering and Richsteel Investments.
LHL Engineering was established in February 1969 as support for the German imported LHL Axel as used in the logistics industry. The management team has more than 100 years combined experience in the industry and recognised as a level 1 BBBEE contributor.
The company also maintains high quality principles and stringent standards in accordance with ISO 9001-2015, ISO 3834-2, ASME VIII Div.1 Appendix 10 as well as for client's requirements.
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