Trecora LLC acquires Chemtrade’s lubricant unit in Kansas

Trecora LLC, an affiliate of Balmoral Funds, has recently acquired the lubricant additives business of Chemtrade, located in Lawrence, Kansas, U.S.A. This acquisition positions Trecora as a leading producer of phosphorus pentasulfide (P2S5) in North America, enhancing its Specialty Chemicals portfolio.

Phosphorus pentasulfide is used in the production of insecticides, oil additives, and ore flotation agents. It is also used in the synthesis of organic compounds such as dyes, pharmaceuticals, and other chemicals. 

Brad Crocker, president and CEO of Trecora, expressed enthusiasm about the acquisition. “Joining forces with the skilled team in Lawrence, Kansas, presents an exciting opportunity to expand and innovate within the specialty chemicals sector,” Crocker said. He emphasised the strategic fit of the new business unit, noting its unique and cost-effective solutions for the evolving lubricant market.

Trecora, headquartered in The Woodlands, Texas, U.S.A., is known for its high-value, innovative materials that contribute to a sustainable future. The company is committed to reducing carbon emissions across the markets it serves, focusing on the safe, efficient, and profitable upgrading of chemical and energy by-products.

Chemtrade, the seller in this transaction, operates a diversified industrial chemicals business. It is one of North America’s largest suppliers of sulphuric acid, sodium chlorate, and other essential chemicals. Additionally, Chemtrade is a significant player in the semiconductor industry, supplying high-purity sulphuric acid.

Balmoral Funds, based in Los Angeles, California, U.S.A., is a private equity fund established in 2005. With approximately USD1.5 billion in assets under management, Balmoral focuses on partnering with entrepreneurial executives and operating advisors to drive transformative changes in their co-invested businesses. The fund typically targets companies with revenues ranging from USD30 million to USD500 million.

This strategic acquisition by Trecora is a testament to its growth-oriented approach in the specialty chemicals industry, marking a significant step in expanding its product offerings and market reach.