Perstorp acquires TallOil
The market for renewable fuels is expected to grow dramatically, not least in Europe. The production of these products will require access to renewable raw materials and leading-edge skills in the chemicals and process industries. Perstorp has identified bio-fuel as a new, attractive business area and is now taking the next step with the acquisition of the bio-oil business within TallOil AB, which provides products that replace fossil-based heating oils.
The acquisition will take place via the Perstorp Group’s newly formed company for bio-fuel business, Perstorp BioProducts AB, which also includes the business for Scandinavia’s biggest production unit for RME.
The initial phase deals with the Bio-Oils business area, which includes liquid, non-fossil products, such as pine tar.
“The acquisition is completely in line with our strategy of investing more in bio-fuel operations and widening our range of products,” says Perstorp’s President and CEO, Bo Dankis. “The business has the potential of boosting overall sales of our bio-fuel products to between SEK 1.5 billion and SEK 2 billion.”
Perstorp BioProducts AB will also take over the brand and company name. Perstorp BioProducts has the option of also buying the TallOil bio-ethanol business.
Furthermore, Perstorp is tying in Henrik Lundberg, a well-respected expert in the field of bio-fuels and founder and current CEO of TallOil AB.
About Perstorp BioProducts AB
Perstorp BioProducts is a company recently set up within the Perstorp Group, whose aim is to develop Perstorp’s activities in the field of bio-fuels and components. The company will run Perstorp’s existing RME and glycerol business.
About TallOil AB
TallOil is a European bio-fuel and bio-energy sector company. TallOil was founded in 1993 with Sweden as its home market. TallOil provides a range of bio-oils, including pine tar, as a cost-effective and environmentally-sound alternative to fossil-based heating oils. The company was restructured in spring 2007 and the various business areas are now being sold to relevant buyers.