Hystron's Ruebcke

More market penetration

Hoechst's Sammet

Stronger world fiber position

GERMANS Another giant European chemical firm wants a bigger share of the u.s. chem­ical market. West Germany's Farb-werke Hoechst now owns alLof Hy­stron Fibers. Hystron was formed in 1966 as a 50-50 joint venture of Her­cules, Inc., and Hoechst to produce and market polyester fibers in the u.s.

Hercules chairman Elmer Hinner says the withdrawal from the joint venture will permit Hercules to con­centrate more of its energies in other areas of planned expansion and diver­sification.

Dr. Rolf Sammet, Hoechst chief ex­ecutive officer, says the acquisition of Hystron will strengthen his company's world fiber position.

In addition to gaining full control of Hystron, Hoechst will also acquire Hercules' 100 million pound-per-year dimethyl terephthalate plant. Hy­stron's fiber operations and the DMT plant are located in Spartanburg, s.c.

Guenther Ruebcke, executive vice president of Hystron, says the u.s. is one of the most interesting markets for fibers on a long-term basis. Mr. Ruebcke says Hystron plans to con­tinue its present policies and campaign to penetrate the u.s. market with its polyester fiber Trevira.

Mr. Ruebcke estimates that Hystron had sales of $90 to $100 million in

Hercules' Hinner

Energies into other areas

Chemical & Engineering

NEWS MARCH 9, 1970

DEEPEN HOLD 1969. Plans call for Hystron to have a 100 million pound-per-year staple fiber capacity and 20 million pound-per-year continuous filament capacity within a few years, he adds.

In referring to the fiber plant start­up and early marketing experiences in selling branded fibers in this coun­try, Mr. Ruebcke says that no major problems were encountered. Hystron Fibers should begin to turn a profit in 1970 or 1971, he adds.

West German chemical companies have been very active recently in building up their operations in the u.s. Badische Anilin-& Soda-Fabrik says that it will spend $500 million in the next few years in investments here. These include the acquisition of Wy­andotte Chemicals for about $95 mil­lion, expansions of Wyandotte oper­ations by $100 million, and a $100 mil­lion chemical complex at Port Vic­toria, s.c.

COREIator 1970 The March 9, 1969, issue of Chemical and Engineering News is a two-part one. Readers will receive a separate issue devoted to Career Opportunities—titled COREIator 1970.

IN u.s. CPI Hoechst still lags BASF in the u.s.

but the Hystron takeover helps close the gap. On a visit to the u.s. last fall, Karl Winnacker, Hoechst chair­man, placed the value of his firm's in­vestments here at $200 million includ­ing its 50% share in Hystron.

Hercules and Hoechst haven't re­vealed the price of the Spartanburg transaction but it was probably in ex­cess of $60 million. Hoechst does say that a published figure of $72 million was too high.

Hoechst's other major operations in the u.s. are American Hoechst, Bridge­port, N . J . , and Stauffer-Hoechst Poly­mer Corp., Delaware City, Del. These two corporations had combined sales of $90 to $100 million last year, ac­cording to a spokesman for American Hoechst.

The Hercules-Hoechst divorce means that Hystron will have to mar­ket in this country without the help of a u.s. partner. It is a situation already faced by Courtaulds North America and American Enka. European chem­ical firms that produce fibers in part­nership with u.s. companies include Dow-Badische (Dow 50%-BASF 50%), Fiber Industries (ICI 37.5%-Celanese 62.5%), and Fibres International ( Rhône-Poulenc 20%-Phillips Petro­leum 80%).

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