• LANXESS subsidiary moving into previous headquarters of specialty chemicals company in September;
• LANXESS strengthening its most important location worldwide for the agriculture megatrend in Leverkusen;
• Preparations for subsequent moves under way;
• Saltigo planning to invest up to EUR 100 million in business with agricultural active ingredients in Leverkusen through 2015.
In September, the company’s workforce of over 100 will be moving into what used to be LANXESS’s headquarters (K 10) at the CHEMPARK site. “The arrival of our fine chemicals specialist Saltigo will strengthen and further expand the Leverkusen site as LANXESS’ most important location worldwide for the megatrend of agriculture,” says Werner Breuers, member of the Board of Management of LANXESS AG.
“Saltigo’s headquarters needs to offer the best possible conditions to enable the company to continue efficiently steering its growth trajectory,” he adds, explaining the reasons behind the move. “We will create these conditions by having the new main administrative center in the immediate vicinity of research and production operations,” Breuers continues. Saltigo GmbH is one of the leading suppliers in the field of custom synthesis and operates production facilities in Leverkusen and Dormagen. In future, 1,100 of its some 1,200 staff worldwide will work at the new headquarters in Leverkusen.
“Targeted investments will also ensure that Saltigo continues to enjoy an optimal position in the dynamic custom manufacturing market,” explains Wolfgang Schmitz, Managing Director of Saltigo GmbH. The company plans to invest a total of up to EUR 100 million in its business with agricultural active ingredients in Leverkusen through 2015. Saltigo will be spending around one fifth of this amount on creating additional capacities for solids isolation at four facilities. “Once again this year, we have a great many projects in the pipeline. Customers in our key business area of agrochemicals in particular are currently expecting the positive market trends to continue,” says Schmitz.
Leverkusen’s Lord Mayor Reinhard Buchhorn welcomes the move. “I’m delighted that Saltigo, an up-and-coming subsidiary of LANXESS, is relocating its headquarters to Leverkusen. It’s a positive sign for the city as a location for the chemical industry and one that points to a rosy future.”
Further moves to come at LANXESS
The relocation of Saltigo’s corporate headquarters is part of a series of knock-on moves following the transfer of LANXESS’ headquarters to Cologne. In Leverkusen alone, business units and group functions from 11 different office buildings will have moved into just four buildings belonging to LANXESS by the end of January 2014. “By taking over K 10 and other office buildings at the chemical park, we can minimize the number of buildings we need to accommodate staff. This greater proximity will create synergies and enable rapid communication,” explains Rainier van Roessel, Industrial Relations Director and member of the Board of Management of LANXESS AG. “Our lease costs will also be far lower, because we are discontinuing lease agreements in seven buildings,” he adds.
Saltigo will be setting up its new corporate headquarters on the second floor of building K 10, while LANXESS’ Innovation & Technology group function will be taking over the whole of the third floor. The rubber technical service center will remain on the ground floor and the first floor will be occupied by LANXESS Distribution GmbH and the Butyl Rubber business unit. The fourth floor will be home to Industrial & Environmental Affairs and the HR team responsible for Leverkusen. In the future, a total of 550 employees will work in LANXESS’ main building in Leverkusen.
The only major building work will be in K 10, where a conference area is being redesigned and washroom facilities suitable for disabled staff are being installed. The rest of the work will essentially be restricted to renovating the existing rooms. Langenfeld is the other main LANXESS site to be affected by the relocations. Global Procurement & Logistics will be taking over Saltigo GmbH’s Katzberg building.
Agricultural business has a rosy future
With Saltigo’s relocation to Leverkusen, LANXESS is strengthening its most important location worldwide for the megatrend of agriculture. The manufacturing portfolios of no fewer than 17 of the 43 LANXESS facilities based at this site, accounting for a total workforce of around 1,400, include products that are used in agriculture following further processing. Custom manufacturing specialist Saltigo produces active ingredients for insecticides, fungicides, herbicides and insect repellents here. Advanced Industrial Intermediates manufactures a wide range of high-quality intermediates that are used, among other things, for agrochemicals and feed additives. And the activities of Functional Chemicals include color coding treated seeds. This is done to distinguish between certain types of seeds, to help stop them being eaten by birds, to improve the stability of the formulation and to provide a filler.
With these and other products, LANXESS plays a key role in making modern agriculture more productive and sustainable. The company’s agricultural business already accounts for around 10 percent of its sales. And the prospects for the future are looking good. It is estimated that the global agrochemicals market will grow at an annual rate of three to four percent due to an increasing world population, greater prosperity in growth markets and fewer cultivation areas. “In the future, it will be important to optimize crop protection using a variety of methods and through highly targeted use of cutting-edge active ingredients so as to increase yields in limited areas and conserve resources,” explains Schmitz.
LANXESS (lanxess.com) is a leading specialty chemicals company with sales of EUR 9.1 billion in 2012 and roughly 17,400 employees in 31 countries. The company is currently represented at 50 production sites worldwide. The core business of LANXESS is the development, manufacturing and marketing of plastics, rubber, intermediates and specialty chemicals. LANXESS is a member of the leading sustainability indices Dow Jones Sustainability Index (DJSI) World and FTSE4Good as well as the Carbon Disclosure Leadership Index (CDLI).
Frank Grodzki - Communications Manager Germany / Central Eastern Europe
P: +49 221 8885 4043 / F: +49 221 8885 4994