Cathay Industries acquires Hoover Color Corporation
Leading global iron oxide pigment manufacturer Cathay Industries has agreed to acquire Hoover Color Corporation (Hiwassee, VA) for an undisclosed amount.
The transaction is expected to close within the third quarter of 2016, subject to customary closing conditions.
Commenting on the transaction, Terence Yu, Group Chief Executive Officer, Cathay Industries, said, “The acquisition of Hoover Color further strengthens our color pigments business as well as enhancing our capabilities. As market leader in natural occurring Umbers and unique eco-friendly Transparent Iron Oxides, Hoover Color brings a century of customer focus to the Cathay Industries Group”.
“Merging our two companies will complement Cathay’s focus on innovation, sustainability, and position us as a leading supplier of performance pigments with a unique offering for the paints and coatings industry,” said Mr Yu.
Charles Hoover, President of Hoover Color Corporation said “Over the last 25 years, Cathay Industries has led the restructuring of the iron oxide industry through innovative technology, and this partnership cements the relationship our two companies have developed over the last two decades. All of us at Hoover Color look forward to exciting times ahead for the combined businesses.”
The transaction will not affect Hoover Color’s existing product range and supply will continue seamlessly.
Mr Hoover will join the executive team at Cathay Industries and continue in his role as President of the Hoover Color newly formed division of Cathay Industries.
About Cathay Industries
Cathay Industries is one of the world’s leading manufacturers of synthetic iron oxide pigments. The business areas of the company include iron oxide pigment for the construction industry, high technology grades for the use in coatings systems as well as highest purity iron oxides for cosmetics, food and pharmaceutical applications. The portfolio is complimented by a number of synergistic products. Established in 1979, the Cathay Industries GROUP, with production sites in the USA, China, Belgium and Australia has been dynamically growing. The success of CATHAY INDUSTRIES is based on significant investment into latest production technologies. For further information visit www.cathayindustries.com
CATHAY INDUSTRIES to expand iron oxide pigments production in Tongling (PRC)
Hong Kong, 17 June 2016. Leading global iron oxide pigment manufacturer CATHAY INDUSTRIES is set to expand its state-of-the-art iron oxide pigments production facility in China.
Following recent expansions at its Yixing site, the company is strengthening its manufacturing capabilities at its flagship site in Tongling, China, in a joint venture with Tonghua Group (Rely Science & Technology Co Ltd).
CATHAY INDUSTRIES Group CEO Mr. Terence Yu said, “This move signifies the next phase of our global growth and development strategy, while demonstrating leadership in the market in terms of both technology solutions and environmental responsibility and sustainability.” This phase 2 expansion will add 20,000 MT per annum (mtpa) of high-performance iron oxide pigments to the 65,000 MT site’s current capacity using our leading technology while meeting the highest environmental standards. With the ever-increasing pressure on global manufacturing facilities to operate responsibly, this expansion will provide the long-term sustainable supply the market requires.
Already awarded silver status from corporate social responsibility certifier ECOVADIS, CATHAY has implemented sustainability plans to achieve its gold status. The expansion supports the CATHAY Group’s transformative growth strategy, globally, particularly the consistent growth of its high-quality CATHAYCOAT™ product range, which already provides advanced solutions in the highly technical and demanding coatings and paint markets. Mr. Yu said, “With advancements to our proven iron oxide production technology, we will break new ground with a new range of high-chroma red iron oxide pigments, which are proven to effectively replace copperas reds in both solvent and waterborne systems. This will position CATHAY as the leading supplier of high-performance pigments with unique and sustainable product offerings.” Mr. Yu said, “Our high-purity expansion complements the company’s dedicated high-purity plant in Valparaiso (IN), USA, and is designed to meet the strict cGMP criteria set by IPEC-PQG. This marks an industry first in China. “Consistent with our Valparaiso plant, the new high-purity facility will be a dedicated stand-alone facility inside our Tongling operation. This will be the first iron oxide pigments manufacturing facility in China to meet the cGMP principles in the personal care, food and pharmaceutical industries, providing additional high-quality regional support for this fast-growing market“, Mr. Yu added.
Phase 2 of our expansion will provide:
Phase 2 expansions have commenced and commissioning of the new facility is targeted for first quarter 2018.
Hong Kong, 05 April 2016. Through acting in an environmentally conscious and socially responsible manner, pigment manufacturer CATHAY INDUSTRIES has been awarded the Silver status by EcoVadis. The EcoVadis organisation is active globally analysing companies from an ecological and socio-economical perspective. CATHAY has proven its reliability of the examined aspects environment, labour practices, fair business practices as well as sustainable procurement, confirming the company’s commitment in short and long term business activities.
Not only in our society but also in today’s working environment, conscientious orientation towards sustainability has become a major topic. Companies across the globe are implementing measures for a sustainable development. CATHAY had already been certified according to the international norm ISO 14001 for its environmental management. As one of the world’s leading manufacturers of synthetic iron oxides, the company has now taken the next step ahead. By using the service of the Corporate Social Responsibility (CSR) experts at EcoVadis, CATHAY has implemented an independent control mechanism for its efforts.
Inspecting business activities
EcoVadis aims to support companies to improve their ecological and social practices. A rating based on 21 criteria out of the subject areas like environment, social, ethic and supply chain has been developed for measuring the CSR performance of a business. A team of international experts analyses and compares registered companies accordingly. Across 145 sectors and 95 countries, EcoVadis operates the first collaborative platform that allows monitoring the sustainable behaviour of companies.
Among the best
After the assessment made in January 2016, CATHAY has been awarded with a Silver status. In every category from environment to fair business practice, the producer’s EcoVadis profile shows to be superior to its industry’s mean value. Especially in the criterion “sustainable procurement” CATHAY INDUSTRIES is among the “TOP 20 % of suppliers assessed by EcoVadis” in the respective category. Prospectively, the manufacturer aims to develop its activities towards the Gold level.
CATHAY INDUSTRIES completes its first construction phase of new plant in Tongling
Tongling, 29 October 2014. CATHAY INDUSTRIES Group has started production in its new plant in Tongling, China. Since 2013 the global provider of synthetic iron oxide and chrome oxide pigments has been building its new manufacturing site with the objective of an expansion to 150,000 metric tons per annum. Using the most modern technology, the Hong Kong-based company will produce yellow, red and black iron oxide pigments in Tongling. Taking responsibility for the environment, the plant utilizes fully integrated waste stream recycling. CATHAY has invested in the joint venture plant with Tonghua Group as Rely Science & Technology Co., Ltd.
At a site of 200 hectares, CATHAY’s operations in Tongling, Anhui Province, has production equipment located in over ten different buildings. From here the company provides the raw pigments, which receive their finishing treatment for various application areas in its plant in Yixing (Jiangsu Province). The finished pigments are used in the coloration of cement-based building products, coating systems, polymers, papers, cosmetics, pharmaceutical and other specialized applications. In the course of 2014, the initial construction phase for the pigment production and the manufacturing test phase have been completed successfully. The initial capacity of 60,000 metric tons per annum is on stream with immediate effect. Once fully completed, the Tongling plant will boost the total manufacturing capacity of CATHAY INDUSTRIES Group to over 200,000 metric tons yearly.
CATHAY is currently erecting spray driers for the production of pigment granules at the same location. The capacity for these so-called microgranules will initially be 20,000 metric tons per year and will be commissioned at the end of the year 2014. Further expansion will be realized after the year 2015.
Optimising energy use
As the factory will be running the Penniman Process, state-of-the-art production is ensured by implementing environmentally friendly operations including integrated waste recycling. This process optimizes the energy use and works with lower carbon emissions. “The pigments we are going to produce in Tongling will be in line with the high product quality of CATHAY INDUSTRIES and at the same time reduce emissions to the environment to the lowest level ever seen in the history of iron oxide manufacturing in China. Both factors are decisive for the success of our future growth”, confirms Terence Yu, global CEO of CATHAY INDUSTRIES Group.
In consideration of the ecological and economical strategy CATHAY cooperates with Tonghua Group. The chemical supplier of pyrite, sulphur ore, sulphuric acid, fertilizer, phthalic anhydride and titanium dioxide also contributes to the production of di-ammonium phosphate and of calcium.
Supplying high quality pigments
CATHAY INDUSTRIES aims to supply firms across the globe with pigments of high quality. For this purpose the company is expanding by 100 percent the finishing capacities in its Yixing facility. This plant will convert the raw pigments from the new plant and make them available for the usage in demanding applications. Each of these projects contributes to the growth plans of the enterprise.
Rely Science & Technology Company to Open in Tongling
State-of-the-Art Production Facility, Low Carbon Footprint
Cathay Industries Group, Hong Kong-based manufacturer of iron oxide and chrome oxide pigments, announces its investment, together with Tonghua Group, to build a new, state-of-the-art production plant for yellow, red and black iron oxide pigments in Tongling (Anhui Province, China).
The joint venture plant to be known as Rely Science & Technology Co., Ltd., will use the most modern technology, including fully integrated waste stream recycling. In stage one, the capacity will be 100,000 metric tons per annum, stage two will see expansion to 150,000 metric tons per annum. The company is aware of its environmental responsibilities and is using advanced capabilities to help preserve the natural beauty and environmental health of Tongling region, which is located near the Yangtze River about 500 km to the west of Shanghai, China.
Cathay Industries Group’s global CEO Mr. Terrence Yu, emphasized the plant will be engineered to run with the waste heat from neighboring fertilizer facilities, which will optimize the energy use and substantially reduce the carbon exhaust. It will be a demonstrably green approach to the production of iron oxides and as such will be a low energy consumer with a small carbon footprint.
The production process will use the all-liquid phase method, which significantly reduces liquid and solid waste. This ensures that it will be a key component of the recyclable business model by the Tonghua Group.
This new facility will also help Cathay Industries Group increase its total manufacturing capacity to well over 200,000 metric tons per annum. At the same time the company will expand its finishing capacity to keep up with increasing demand for its ready-to-use pigments.
Iron oxide and chrome oxide pigments are used in the coloration of cement-based building products, coating systems, plastic matrices, paper, cosmetics, pharmaceutical and many other specialized applications. Each application has specific customer requirements, and Cathay Industries Group meets and exceeds those needs.
Tonghua Group was established after merging four enterprises together during the 1990s. Tonghua Group is a chemical manufacturer. It has a production capacity of 2.5-million tons per year of Pyrite, 2.0-million tons per year of fine and selective sulphur ore also has an annual output of 1,000,000 tons of sulphuric acid, 3.0-million tons of fertilizer, 80,000 tons of phthalic anhydride, and 100,000 tons of titanium dioxide, and contributes to the production of 600,000 tons of di-ammonium phosphate, and 600,000 tons of calcium.
Cathay Industries Group is a global provider of Color Concept Solutions. Our products are more than just simple pigments; they are complete color systems, customized to your specific business needs. Whatever color ideas you can imagine, Cathay Industries Group will help you bring them to life.