As part of its strategy to focus on its core competencies in colours, surfaces and performance chemicals Swiss chemicals supplier Clariant has sold its Custom Manufacturing Business to International Chemical Investors Group (ICIG) for an undisclosed sum.

The Customer Manufacturing Business supplies a range of intermediates and actives ingredients for the agrochemicals, pharmaceuticals and polymers industries and had sales of around CHF217 million ($178.3 million) in 2006.

The transaction is expected to close by mid-year and Clariant expects to record a book loss of approximately CHF70 million.

International Chemical Investors is an investment group focusing on mid-sized chemical businesses, preferably subsidiaries of large corporations, which are considered non-core, with leading positions in niche markets. Including the newly acquired Clariant businesses, ICIG will operate 14 production facilities located in Germany, the United States, France, Belgium, Ireland and Poland with total sales of close to €500 million and more than 2,500 employees.