US compounder and distributor A. Schulman (Akron, Ohio; www.aschulman.com) has purchased thermoplastics manufacturer Perrite (Warrington, Cheshire / UK; www.perrite.com) for approximately USD 52m (EUR 39m) as part of plans to boost its colour capabilities in Asia. The purchase of the Perrite Group, which has operations in Malaysia as well as the UK and France, is expected to increase A. Schulman’s revenues in its Asia Pacific (APAC) segment by 35% and double the size of the company's engineered plastics business in the region.

Perrite, which was part of the Vita Group (Luxembourg; www.thevitagroup.com), manufactures and distributes thermoplastic compounds for the electrical, automotive and industrial markets. The company employs approximately 220 people and recorded revenues of USD 140m in fiscal 2012.

"Expansion of our custom performance colours and engineered plastics businesses in APAC is a key component of our growth strategy and the addition of Perrite's manufacturing facility in Malaysia will enhance our ability to serve key customers in the region as well as globally," said A. Schulman CEO Joseph M. Gingo.

The acquisition will also help A. Schulman to strengthen its European niche engineered plastics business as well as move into adjacent markets with Perrite's insulation materials for the sub-sea flexible oil pipe market, which are manufactured in the UK, Gingo added. The deal is expected to deliver some USD 2m-USD 3m in annual synergies.

The Midwestern-based company said it intends to continue pursuing its acquisition strategy. “Our goal is to further strengthen our company's leading position in our core markets and position the company for sustainable growth,” stated Gingo. “We will remain aggressive in pursuing this strategy and are encouraged by the opportunities in the global acquisition pipeline."