Sudarshan Chemical Sells VP4 Frankfurt to Celanese, Sharpening Focus on Core Pigments Business

Sudarshan Chemical Sells VP4 Frankfurt to Celanese, Sharpening Focus on Core Pigments Business​

Sudarshan Chemical Industries Limited (Sudarshan) has announced the sale of its step-down subsidiary VP4 Frankfurt GmbH to Celanese Corporation, USA. This divestment aims to sharpen Sudarshan's strategic focus on its core pigments business.

VP4 Frankfurt is involved in the manufacture of certain intermediates, such as Diketene. The company operates primarily as a tolling operator for Nutrinova, an affiliate of Celanese Corporation and Mitsui & Co. Japan. The business unit became part of Sudarshan following the acquisition of the Heubach Group.

The transaction strategically aligns VP4 Frankfurt with its principal customer, Nutrinova. Diketene is an important intermediate used in functional food ingredients, making the asset a strong fit for Celanese and Nutrinova, which produces additives for the food industry, including sweeteners. While VP4 Frankfurt serves Nutrinova as its primary customer, only a small portion of its output is consumed captive by Sudarshan.

Rajesh Rathi, Chairman and Managing Director of Sudarshan Chemical Industries Limited, commented on the sale, stating, "The sale of VP4 Frankfurt is a strategic step in sharpening our focus. Pigments and colorants are where we create the most value for our customers. VP4 is a well-run business with a strong team, and it now moves to the company it already serves. That is the right outcome for the asset, for its employees, and for Sudarshan."

Following the completion of the transaction, Nutrinova will continue to supply Sudarshan with the materials it requires.

Sudarshan Chemical Industries Ltd is recognized globally as a leader in color solutions and specialized pigments, serving customers in over 120 countries. Headquartered in Pune and Frankfurt, the company offers a diverse portfolio of organic, inorganic, and pearlescent pigments used across coatings, plastics, inks, and cosmetics. Sudarshan is supported by more than 3,900 employees and maintains 20 manufacturing and R&D sites worldwide, setting standards in color quality, performance, and sustainability.

SUDARSCHEM Stock Price Movement​

Sudarshan Chemical Industries Limited shares edged higher on Monday, concluding the session at ₹1266.80 after gaining 1.04%. The stock traded within a tight range, touching a low of ₹1235.1 and a high of ₹1275.