Münster, Germany - BASF is to buy Turkish company Yasar's 50 percent share in the 50:50 joint venture Yasar BASF Automotive Coatings Ltd, which markets automotive OEM and refinish coatings in Turkey.
The deal furthers BASF's strategy of strengthen its position with automotive manufacturers and suppliers in the Turkish market. BASF said it expects double-digit growth in the Turkish automobile industry and aims to be able to offer a wider range of tailor-made services for automotive manufacturers and suppliers with this acquisition.
In 2007, the joint venture had sales of about Euro 45 million and had 130 employees. Both companies agreed not to disclose financial details of the transaction.
Describing the acquisition as "a long-term investment in our Turkish operations," Jürgen Barwich, head of BASF's Business Center Turkey, added that BASF is "strengthening our market position in the Turkish automotive market, which has doubled production in the past 10 years and is growing at more than 10 percent per year."
BASF claims to already lead the market for automotive OEM coatings in Turkey market through the joint venture.
BASF Coatings will move the headquarters of the operation from Izmir to Istanbul-Kavacik by the end of the year. The group already operates a customer training centre for refinish coatings in Istanbul-Dudullu, and said it is also installing colour mixing units and a colour laboratory at its site in Gebze-Dilovasi near Istanbul.