EAC Industrial Ingredients acquires Seawards in Malaysia

EAC Industrial Ingredients Sdn Bhd announced that it has acquired Seawards (M) Sdn Bhd on January 27, 2010.  Seawards is a chemical distributor of specialty ingredients for the Personal Care, Food & Beverage and Latex-Glove industries, which complement the activities of EAC Industrial Ingredients in Malaysia.

The acquisition is in line with EAC II's strategy to be the leading solutions provider of industrial ingredients in the Malaysian market by offering a wide range of value-adding specialties. The acquired business will strengthen EAC II Malaysia’s product portfolio within the Personal Care, Food & Beverage and Industrial Formulation industries and will substantially expand the business’ revenue.

KC Lim, Managing Director for EAC II Malaysia commented, "This acquisition provides us with new opportunities to accelerate our growth and expansion in Malaysia. It enhances our product portfolio in key industries and provides existing and new suppliers additional channels to reach customers in the local market. Additionally, we will be able to penetrate new segments in the Personal Care, Food & Beverage, and Industrial Formulation markets locally as well as on a regional basis.” The acquisition includes key suppliers and customers of Seawards. Its operations will be integrated into EAC II Malaysia’s business.

About EAC Industrial Ingredients Sdn Bhd
EAC II Malaysia has been providing solutions comprising industrial ingredients and related services to customers in Malaysia since 2002. It currently employs more than 60 people and has its office and warehouse in Shah Alam and branch office in Johor Bahru.

Thailand’s Prime Minister visits EAC‘s headquarter in Copenhagen

On December 17, 2009, which was the last day of the major Climate Conference in Copenhagen, Prime Minister of Thailand, H.E. Abhisit Vejjajiva, and his entourage visited the Asia House in Copenhagen. The Prime Minister was shown around the entire house and inspected, of course, the newest outstanding landmark adjacent to Asia House, i.e. the equestrian statue of King Rama V.

Included in the Prime Minister's entourage during the visit to Asia House were several prominent, high ranking Thai officials including H.E. Khun Suwit Khunkitti, Minister of Natural Resources and Environment, H.E. Khunying Kalaya Sophonpanich, Minister of Science and Technology, and H.E. Khun Kiat Sittheeamorn, President of Thailand Trade Representative.

Asia House, located in Indiakaj in Copenhagen, is a venue for activities strengthening the relations between Denmark and Asian countries. It was built in 1898 as as the headquarters of the East Asiatic Company Ltd. (EAC), which had been founded the previous year. Asia House served as the head office of EAC until 1907.

EAC Industrial Ingredients acquires non-enzymatic brewing processing aids business in India

EAC II India has acquired the non-enzymatic brewing processing aids business of Novozymes South Asia as of 22nd September 2009. Novozymes will retain their core enzymes business.

The business sells a portfolio of blended, value-added products and services marketed for breweries currently used in almost 70 production plants across 23 Indian states. It is the market leader with approximately 75% market share in the Indian non-enzymatic market for brewing processing aids.

The acquisition includes products and trademarks, customers, suppliers and know-how related to formulations.

The product range covers all stages of the process including brew house operations, yeast management, fermentation and filtration. The products are grouped as follows:

The intellectual property rights including brand names will be transferred to EAC II India.

The business will be integrated into EAC II India’s Food & Beverage (F&B) business, which will add significantly to India’s F&B business.

EAC II is pursuing a growth strategy to further expand its activities across South and South East Asia. This acquisition represents a strategic foothold in the fast-growing food & beverage industry in India, and supports EAC II’s ambition to expand within the high-margin, value-added segments of the markets for specialty ingredients.

EAC Industrial Ingredients acquires Indian business

EAC Industrial Ingredients continues to strengthen its specialty chemical business in India and has today completed the acquisition of the Food and Pharmaceuticals distribution business from S. A. Pharmachem P. Limited (SAP) in Mumbai. The acquired business consists of sale and distribution of a range of specialty ingredients in India, which complements the current activities of EAC Industrial Ingredients in the country. The acquisition will double Industrial Ingredients' business in India, thereby providing better scale and creating a stronger platform for further growth.

India is considered an attractive market with a growing economy, and the acquisition is in line with EAC's strategy to expand in South Asia leveraging on the business' expertise and performance in South East Asia . There is a good strategic fit between EAC's existing business and the acquired business that predominantly sells specialty ingredients to the Food and the Pharmaceutical industries. The business is experiencing positive growth and is generating an attractive operating margin. The two businesses are expected to integrate smoothly, and capture minor operational synergies only.

The transaction will only have limited impact on EAC Industrial Ingredients' results for 2008.

EAC Industrial Ingredients' distribution network covers nine Asian markets - Thailand , India , Bangladesh , Vietnam , Indonesia , the Philippines , Malaysia , Singapore and Cambodia – operating out of 19 offices, and representing more than 150 international manufacturers of industrial ingredients. The business strategy is to become the market-leading solutions provider to selected industries in existing markets, and at the same time expand the regional footprint in South and South East Asia .

Acquisitions are an important tool in this process, and EAC Industrial Ingredients will continue to investigate attractive acquisition opportunities, which complement and add value to the existing business.  

September 2007

EAC Industrial Ingredients has acquired ACI Trading Ltd. on October 1, 2007. ACI Trading is involved in sales, marketing, and distribution of specialty chemicals and industrial ingredients in Bangladesh.

ACI Trading has been a subsidiary of ACI Limited, which is listed on the Dhaka stock exchange. Soon the business will be changing its name to EAC Industrial Ingredients (Bangladesh) Ltd.

The company with 18 employees and facilities in Dhaka and Chittagong holds a leading market position as a distributor to the rapidly growing industrial sector, especially within plastics, leather and textiles.

In 2005 EAC II entered South Asia through the acquisition of the former ICI trading company in India. Bangladesh is an important next step in EAC Industrial Ingredients’ market development strategy in South Asia leveraging on our market leading position in Thailand and South East Asia. South Asia is a high growth region with GDP of 7.5% dominated by India, Pakistan, Sri Lanka and Bangladesh.

EAC Industrial Ingredients will focus on expanding and growing the ACI Trading business in Bangladesh providing existing and new customers with technical support services, formulation and supply chain management as well as strengthening ACI Trading’s industrial focus, thus making the company an even more attractive partner to international suppliers of industrial ingredients.

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August 2007

EAC Industrial Ingredients has acquired Phil-Asiachem Inc. on August 9, 2007. Phil-Asiachem is involved in sales, marketing, and indent distribution of specialty chemicals and industrial ingredients in the Philippines, primarily into the Pharma, Feed, and Food industries.

Phil-Asiachem was founded in 1980 and has been a Joint Venture between an Asset Management company and Asiachem. The company has been located in an office in Makati Manila. Phil-Asiachem is a focused distributor of active pharma ingredients for the pharmaceutical industry, and of additives and ingredients for the feed industry as well as for the food industry. The company’s customers comprise some of the same core industries, which EAC Industrial Ingredients is addressing, in particular manufacturers of feed and food products. The suppliers of Phil-Asiachem and EAC Industrial Ingredients Philippines complement each other without conflicts. The employees of Phil-Asiachem will move into the offices of EAC Industrial Ingredients in the Philippines with immediate effect.

We expect that the combination of the strengths of the existing business and the portfolio and knowledge in the acquired company offers very strong growth opportunities in terms of broadening the product assortment offered to the Food, Feed and Pharma industry in the Philippines, and in South East Asia as a whole.

July 2007

EAC Industrial Ingredients has acquired Akashi Sdn. Bhd. on July 30, 2007. Akashi is involved in formulation, sales, marketing, and distribution of specialty chemicals and industrial ingredients in Malaysia. As a result of the acquisition EAC will also become 50% shareholder of the Malaysian company Amochem Sdn. Bhd.

Akashi was founded in 1991 by a group of Malaysian investors. The company has 57 employees at an integrated facility in Shah Alam in the outskirts of Kuala Lumpur with offices, warehouses, laboratories and production/formulation facilities. Akashi is an exclusive distributor for a number of international manufacturers/producers of among others, polyurethane, ingredients for paint and coatings, adhesives, optical fibres, silicone products, and food ingredients.

As part of the operation, Akashi also formulates certain silicone and polyurethane products. The company’s customers comprise some of the same core industries, which EAC Industrial Ingredients is addressing, including manufacturers of food products, personal care products and industries within rubber and paint. The suppliers of Akashi and EAC Industrial Ingredients Malaysia complement each other without conflicts.

We anticipate that the combination of the existing and acquired company in Malaysia will offer ample opportunities for growth as the strengths of both businesses complement and reinforce each other and offer us a much stronger and broader presence in Malaysia and in South East Asia as a whole.