BASF acquires US rigid systems firm

By Patrick Raleigh UT On-line new editorLudwigshafen, Germany-BASF AG has acquired Foam Enterprises Inc. (FEI)-a Minneapolis, Minnesota-based supplier of PU spray, pour, froth and moulding systems-for an undisclosed sum, BASF announced 3 March. FEI, which had 2003 sales of around $80 million, employs about 80 at its Minneapolis headquarters and an R&D base in Houston, Texas. The firm principally serves the roof & wall insulation, walk-in coolers, insulated building panels, spa, and boat flotation markets. Both companies will continue to supply their respective systems customers, with BASF supplying raw materials for FEI 's customised formulations, according to the German group. FEI's founder and president, Dennis Holbert, will continue to lead FEI, the statement added. The acquisition is part of a BASF strategy to strengthen its global system house network, according to Bill Bernstein, group vice president of BASF's PU business in North America, in a press statement.Customers will benefit "because BASF and FEI will learn a great deal from each other, and share best practices in areas such as technology development, product quality, supply consistency, research, global support, and customer and technical service," Bernstein claimed. "