Global manufacturer of differentiated and commodity chemicals Huntsman Corporation has entered into a definitive agreement to acquire the global Textile Effects business of Ciba Specialty Chemicals Inc. for CHF332 million ($253 million).

Headquartered in Basel, Switzerland, the Textile Effects business manufactures a broad range of chemical and dye products that enhance the performance properties and colour of finished textiles and materials. It serves over 10,000 customers located in 80 countries and is the leading global supplier of comprehensive solutions for the textile industry. The business has approximately 4,200 employees and operates 11 primary manufacturing facilities located in eight countries.

CEO of Huntsman, Peter Huntsman commented, "The Textile Effects acquisition will compliment our existing formulation businesses and provide our Performance Products segment with new downstream technology and marketing platforms.  It is consistent with our corporate strategy to continue to expand our differentiated segments through high return growth projects.”

This is Huntsman's second acquisition of a Ciba Specialty Chemicals business. In 2003, Huntsman acquired Vantico Group S.A. which was formerly Ciba's Performance Polymers division.  This is now Huntsman's Advanced Materials division, which will operate shared sites with Textile Effects in Basel, Switzerland and in Panyu, China.