Merck Acquires Effect Pigments Manufacturer in China      

On September 9th, Merck KGaA announced that it has acquired Suzhou Taizhu Technology Development Co., Ltd. (Taizhu), a leading supplier of effect pigments located in Taicang, Jiangsu province, eastern China.
    With total revenues of more than Euro 14 million in 2008 and 300 employees, Taizhu is one of the biggest effect pigments companies in the Chinese market.
    The acquisition is of high strategic importance to the Merck pigments business, Merck says.
    Within the scope of this transaction, Merck has acquired the production site of Taizhu in Taicang, 40 kilometers from Shanghai, as well as the entire sales and marketing organization in China and abroad for a total consideration of Euro 28 million.
   According to Merck, China is one of the world's fastest growing markets and is forecasted to become the second biggest effect pigment market by 2010, second only to the United States.
   Effect pigments underscore the emotional impact of color and are an important design element when creating surfaces with special impressions or qualities.
   Merck is one of the world's leading suppliers of effect pigments for the coatings, plastics, printing, cosmetic, food and pharmaceutical industries. Merck's Chemicals business subsidiary has been operating in Shanghai since 1997, involving in effect pigments and pharmaceutical businesses.