Axalta Coating Systems, a global supplier of liquid and powder coatings, announced the purchase of ChemSpec USA on November 3 during the 2015 SEMA Show in Las Vegas.
“We’re very excited about the ChemSpec acquisition,” said Nigel Budden Axalta Vice President and head of its North America operations at the time of the deal. “This acquisition will help us to better understand and enable new growth in the economy coatings segment.”
ChemSpec USA is a manufacturer of coatings for the economy segment.
“The team at ChemSpec USA is very excited about the opportunities that the acquisition by Axalta will present to our customers, employees and external partnerships,” added Ron Snow, President ChemSpec USA. “It will allow ChemSpec USA as well as its current and future customers to have huge growth opportunities by having the financial backing and automotive refinish experience that Axalta will bring to our organization.”
Autobody News interviewed Jonathan Purifoy, Axalta Integration Manager-NA Refinish, during the show to find out more about the purchase.
Q: Please give some background on Axalta Coating System’s acquisition of ChemSpec USA.
A: “We wanted to grow our market share in the economy segment. ChemSpec USA gives us a strong portfolio of products that help meet the needs of customers in this important segment. Timing for the transaction was good for both parties.
Q: How will this acquisition help the collision repair sector of Axalta Coating Systems?
A: “ChemSpec USA has good distribution, a results-oriented team of sales people with great products and solutions. The ChemSpec USA refinish color system has great color capabilities, is domestically manufactured, and was developed to cover the color space well. We have heard great feedback from customers on the results that they get from the products. ChemSpec USA is in a market space and channel that we would like to develop and grow. This acquisition complements our company.”
Q: Will ChemSpec USA be rebranded / remarketed now that it is owned by Axalta?
A: “ChemSpec does very well in the economy market space, and Axalta does very well in the premium and mainstream markets. Our goal is to maintain ChemSpec’s nimbleness and entrepreneurial mindset, operating them as a wholly owned subsidiary. We do not have plans to co-brand or co-market ChemSpec product, or rebrand the company, at this time.”
Q: Will the ChemSpec products continue to be manufactured in the same location?
A: “The manufacturing plant and headquarters for ChemSpec in Orrville, Ohio, will remain open and functional. The team is very agile and can manufacture products very quickly.”
Q: What are the most frequent questions you’ve been asked by SEMA attendees concerning the acquisition?
A: “The questions I’ve heard at SEMA are mostly from distributors. Distributors across the country recognize the power of Axalta and the value of ChemSpec products. They want to expand their product offering and together we want to bring the best of Axalta and ChemSpec to the end-user customer without altering ChemSpec brands or personality.”
Axalta and ChemSpec jobbers alike can contact Jonathan Purifoy at firstname.lastname@example.org for more information.
A full description of ChemSpec USA automotive paint products can be found at http://www.montprod.com/
More information on Axalta Coating Systems can be found at www.axaltacs.com