Stepan Closes Acquisition of Bayer MaterialScience’s North American Polyester Resins Business

Stepan Company today reported that it completed the purchase of the North American Polyester Resins business, from Bayer MaterialScience. The sale includes the production facility located in Columbus, Georgia.

Bayer MaterialScience is a leading producer of Powder Polyester Resins for metal coatings applications in NAFTA and Liquid Polyester Resins for CASE (Coatings, Adhesives, Sealants and Elastomers) applications globally. The facility houses a modern R&D laboratory for customer technical support and new product development. The 21,000 ton plant is expandable. The business to be acquired has sales of approximately $64 million.

"This acquisition will significantly expand Stepan's polyol product offering. Stepan is a leading producer of polyester polyol used in rigid insulation foam. This acquisition will diversify our polyol offering and accelerate our efforts to grow in CASE and PUSH (Polyurethane Systems House) applications. The acquisition should be slightly accretive to 2013 earnings," said F. Quinn Stepan, Jr., President and CEO of Stepan Company. "We intend to make future capital expenditures to expand the capabilities at the site and look forward to providing the highest level of service to our new customers."

ABOUT STEPAN COMPANY

Stepan Company, headquartered in Northfield, Illinois, is a leading producer of specialty and intermediate chemicals used in household, industrial, personal care, agricultural, food and insulation related products. The common and the convertible preferred stocks are traded on the New York Stock Exchange under the symbols SCL and SCLPR.

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