SK Capital subsidiary Archroma has closed the acquisition of the Singapore-based Huntsman Textile Effects business. Described as a merger of equals, this will create a company over 5,000 employees in 42 countries and 35 production sites. Archroma also announced a split into two operating divisions, each focused on a separate end market.

As had been widely anticipated, SK Capital Partners operation Archroma has entered into a definitive agreement to acquire the Singapore-based Textile Effects business of Huntsman. Closing is expected to take place in 1H 2023, subject to customary conditions and regulatory approval. Textile Effects had sales of $772 million and adjusted EBITDA of $94 million in the last financial year.

Archroma and Huntsman Textile Effects have both announced alliances in textile technology. The former has joined Jeanologia to launch the Pad-Ox G2 Cold dyeing process, while the latter has formed a strategic partnership with Sciessent in antimicrobial and odour-control technology.