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FDI's $400 Billion Secret Ingredient

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12 FDI's $400 Billion Secret Ingredient What is Solvay's US footprint? Solvay, Simek explained, is an in- ternational chemical company based in Belgium that employs 30,000 scientists, professionals and skilled workers worldwide. About 20 percent of Solvay's global workforce is based in the United States thanks to acquisi- tions and organic growth in the region. What are some recent examples of Solvay's M&A Activity? Dahlinger: "In recent years, Solvay has sought to build its portfolio of value-added chemistries including specialty polymers and advanced for- mulations. Solvay's technology enables manufacturers to cre- ate light-weight yet durable consumer goods like drop-re- sistant smart phones and plas- tic auto parts for more energy efficient vehicles, among other applications. The group also has expertise in formulations for home and personal care, oil and gas, coatings, indus- trial and agrochemicals mar- kets." To help achieve Solvay's stra- tegic vision, Simek points to several so-called "bolt-on" acquisitions in the United States over the past 10 years. These included the 2009 acquisition of the McIntyre Group, a privately-owned chemical company based in Illinois. In 2013, Solvay ac- quired Chemlogics, a Cali- fornia-based group of more "mature" startups specializing in formulations for the oil and gas market. Solvay was able to take these smaller operations, expand their vision and give them a global playing field. It also made very significant invest- ments to instill a stronger safe- ty culture, enhance efficiency and improve the environmen- tal footprint of their facilities by upgrading equipment and processes, explained Solvay's technology enables manufac- turers to create light-weight yet durable consumer goods ideal for aerospace (top) and automotive (above) compo- nents, among other applications. In 2015, Solvay announced and quickly closed on the acquisition of New Jersey-based Cytec Industries. Cytec's primary busi- ness is the production of composite materials for the automotive and aerospace markets. The company also holds a leading position in mining materials. This acquisition marks a real change in Solvay's business and a strategic shift from manufacturing energy-intensive, commodity chemicals to value-added, specialty products that meet global needs for sustainable goods and solutions. Belgium-based Solvay is an international leader in chemical manufacturing, supporting approximately 6,700 quality U.S. jobs across the country. What follows is an insightful conversation we had with Solvay's Mark Dahlinger, executive vice president for finance, and Lucy Simek, executive vice president of mergers and acquisitions. Global firm transformed by major US investment

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