German-based chemical company Lanxess plans to divest its Textile Processing Chemicals business unit by the end of this year.

Before the announcement, Management Board chairman Dr Axel Heitmann had already mentioned that strategic options for this business were being explored in order to safeguard its long-term future. Successful restructuring has been carried out over the past two years to make the business more competitive.

Lanxess is now looking for an investor to participate in the ongoing consolidation of the textile processing chemicals industry. The Textile Processing Chemicals business unit employs approximately 380 people and forms part of the Performance Chemicals segment, which had sales of €1.98 billion in 2005.