Sudarshan Chemical Industries acquires Heubach Group

Sudarshan Chemical Industries Limited (SCIL) announced the completion of its previously announced acquisition of Germany’s Heubach Group through its wholly owned subsidiary Sudarshan Europe BV in an asset and share transaction.

This strategic acquisition will create a global pigment leader, combining SCIL’s operations and expertise with Heubach’s technical capabilities. It will enhance SCIL’s product portfolio, giving it access to a diversified asset footprint across 19 international sites. The combined company will have a broad portfolio of high-quality pigments and a strong presence in key markets such as Europe and America.

With these, the new Sudarshan will be able to offer high-quality solutions that meet the needs of its customers around the world. Mr. Rajesh Rathi will lead the combined company as Managing Director and CEO, along with a high-performing leadership team with technical management capabilities.

With a 200-year history, Heubach will become the world’s second largest pigment company after its integration with Clariant in 2022. It had revenues of over €1 billion in FY21 and FY22 and has a global presence, particularly in Europe, Americas and Asia Pacific. Heubach has faced financial challenges over the past two years due to rising costs, inventory issues and high interest rates. SCIL’s acquisition of Heubach will address these challenges with a clear transformation plan.

Talking about the completion of the acquisition, Mr. Rathi said, “Today marks an exciting new chapter as we join forces with Heubach to become an inspirational leader in the colorants industry. The combined company will build on the rich legacies of Sudarshan and Heubach. Our goal is to create the world’s most valuable pigment company with strong financial strength and profitability. Together, we will drive continuous innovation and deliver breakthrough solutions for the benefit of each of our stakeholders.”

SCIL completed the transaction on time and has developed a detailed execution plan covering all functions. The priority is to operate as one – unlocking efficiencies, driving synergies and fully integrating the legacy Clariant, Heubach and Sudarshan into a unified, stronger organization with shared values.

Germany remains a strategic location for SCIL and by establishing its second global headquarters in the Frankfurt area, the company underlines the region’s role as a key pillar for its operations and future growth.

The new SCIL has a strong customer-centricity and solutions orientation. The integration will implement best practices and simplify structures, systems and processes. SCIL will also focus on financial stability, prudent cash management and long-term investments.