Camlin Fine Sciences buys 51% stake in Chinese chemical firm
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Camlin Fine Sciences buys 51% stake in Chinese chemical firm

By Keshav Sunkara

  • 12 Jul 2017
Camlin Fine Sciences buys 51% stake in Chinese chemical firm
Credit: Thinkstock

Specialty chemicals maker Camlin Fine Sciences Ltd has acquired a 51% stake in Chinese chemical firm Ningbo Wanglong Flavors and Fragrances Company Ltd for $6.28 million (around Rs 40.5 crore) in cash.

Camlin bought the stake along with its Italian unit CFS Europe SpA, it said in a stock exchange filing on Wednesday.

It added that the deal will help Camlin become the world’s third-largest producer of vanillin, which is used by food and flavour companies as well as perfume manufacturers to enhance fragrance.

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Ningbo Wanglong was incorporated in November 2015 and is based out of Zhejiang province in east China. The firm makes flavour and fragrance products. It has a production facility at Yuyao in Zhejiang province.

Camlin was founded in 1931. The company makes antioxidants, aroma ingredients and performance chemicals. It has a plant in Ravenna (Italy) to produce catechol, which is used to make vanillin and ethyl vanillin.

In 2016, Camlin acquired a 65% stake in Mexico’s Dresen Quimica SA de CV, along with its group companies, for $7.8 million (Rs 53 crore) in cash.

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In 2016-17, Camlin reported a net loss of Rs 4.28 crore on total income of Rs 548.73 crore.

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