Prof. Dr. Utz-Hellmuth Felcht, CEO of Degussa AG, Duesseldorf/Germany and Mr. Motozo Shiono, President of Shionogi & Co., Ltd., Osaka/Japan jointly announce in Tokyo that Degussa and Shionogi will establish a joint venture in Japan for precipitated silica, silica gel and matting agents.
The joint venture will commence operation on October 1, 2003 and expects in the first year sales of approx. Yen 3 billion (US $ 25.5 million). Degussa will hold through its subsidiary Degussa Japan Co., Ltd., Tokyo, 51% of the new venture’s shares whereas Shionogi will have 49%.
„By this step we accomplish two objectives: we sharpen our focus on our pharmaceutical business and by joining forces with Degussa we help building a better future for our silica, silica gel and matting agents activities“ said Mr. Shiono. Being a part of its Industrial Chemicals Division Shionogi will transfer production, sales and R&D activities to the new joint venture.
Prof. Felcht pointed out: “By the formation of this new joint venture Degussa realizes the next step in its silica strategy in Asia. From now on we will use the new venture to systematically grow and expand Degussa’s silica business in Japan and Asia/Pacific.” The new venture will benefit from Degussa’s broad know how in precipitated silicas and matting agents, innovative product development and global distribution net work backed up by several applied technology centers.