Mumbai-based speciality chemicals company Dorf Ketal Chemicals, through its wholly-owned subsidiary Dorf Ketal FZE, has acquired Canada’s Fluid Energy Group’s global modified and synthetic acid business, including the Triton industrial business for an undisclosed sum.
The acquired businesses reported a turnover of over ₹485 crore (C$80 million) in the year 2022.
Fluid Energy has an advanced patented product line of modified and synthetic acids applied widely across a range of industries including water treatment, energy and petroleum, mining, industrial, consumer, and food and beverage.
“This acquisition will bring additional strategic assets, innovative new technology, talented people, and strong customer relationships into Dorf Ketal,” said Subodh Menon, founder and director-business and operations at Dorf Ketal Chemicals India.
The acquisition was partially funded by internal accruals and a long-term loan from Citibank and Exim Bank of India. The company did not disclose the details.
Dorf Ketal said the acquired business technology aligns with its global ESG (environmental, social and governance) focus, and has a significant impact on improving HSE (health, safety and environment) profile, reducing water consumption and CO2 emissions from operations. It will also eliminate the risks associated with storing, transporting, and handling strong mineral acids. The acquired company will operate as Fluid Energy Limited, a corporation incorporated under the laws of the province of Alberta, Canada.
“This strategic divestment aligns with the future development and repositioning of the Fluid Energy Group into a leading sustainable chemistry supplier,” said Clay Purdy, chief executive officer of Fluid Energy.
The energy and power division of Piper Sandler served as the exclusive corporate finance advisor to the shareholders of Fluid Energy Group for the transaction. EY India was the advisor for Dorf Ketal.
Fluid Energy Group was founded in Calgary, Alberta, Canada in 2011. It creates products that are effective, technically advanced, and minimise the impact on the environment.
Dorf Ketal has operations in the Asia Pacific, China, Europe, Middle East, South America, and North America regions.
Last April, Dorf Ketal acquired Ahmedabad-based Khyati Chemicals to diversify its revenue stream and enter the performance chemicals business.
In October, it signed a definitive agreement to acquire speciality chemicals company Clariant’s North American Land Oil business.
