Cabot to acquire Bridgestone carbon black operation in Mexico

Boston, Massachusetts – Cabot Corp. is to acquire Bridgestone Corp.’s reinforcing carbon black facility in Mexico for $70 million, US carbon black major Cabot announced 4 Aug.

The 20-year-old Mexico Carbon Manufacturing SA de CV (MXCB) plant is located near Cabot’s current reinforcing carbons facility in Altamira, Mexico, operational since 1990.

The deal, said Cabot, “will strengthen its longstanding partnership” with the Japanese group through the long-term supply of reinforcing carbon products from MXCB.

The Mexican facility, which also has capabilities to manufacture other reinforcing carbon products, will reinforce Cabot’s position "as a global leader in carbon black,” its statement continued.

The acquisition “expands our global reinforcing carbons network and deepens our collaboration with Bridgestone,” commented Sean Keohane, president and CEO, Cabot Corp.

The acquisition agreement is expected to close within the next six months subject to regulatory approval in Mexico.

Bridgestone officially opened the MXCB carbon black plant in 2008, to suppliy its tire plants in North America as well as Central and South America.

As ERJ reported at the time, production capacity at the Mexican plant was forecast to reach 35 kilotonnes per annum (ktpa) – adding to output from the group's carbon black facilities in Japan and Thailand.

In July, Bridgestone announced an agreement to sell its Thai carbon black operation to Tokai Carbon, which has a nameplate capacity to produce 40ktpa of carbon black. (ERJ report)