FORT WORTH, Texas — Japanese carbon black firm Tokai Carbon Co. Ltd. has agreed to acquire the assets of Fort Worth-based Sid Richardson Carbon Ltd. for approximately $310 million.
The acquisition, which includes Sid Richardson and two affiliated companies, will be financed through bank loans, Tokai said.
Acquiring Sid Richardson is a major step in Tokai's plan to become a global player in carbon black, the Japanese company said in a June 26 financial presentation.
"The acquisition of Sid Richardson Carbon will support Tokai Carbon's expansion into the North American market, the second-largest market after China," Tokai said.
Tokai has been present in North America as a producer since 2014, when it bought Canadian carbon black manufacturer Cancarb, the Japanese company said. That acquisition also brought Tokai into the market for thermal black, which is made primarily from natural gas, it said.
Tokai plans to complete its purchase of Sid Richardson in early September, it said. The acquisition will make Tokai the world's fifth-largest carbon black manufacturer, with nine production plants worldwide and annual capacity of 937,000 metric tons.