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Westlake Completes Acquisition of Dimex

By: via Business Wire

Company expands its building products business with a leading recycled plastic materials processor

Acquisition supports Westlake’s growth trajectory and meeting its ESG commitments

Westlake Chemical Corporation (NYSE: WLK) today announced that it has completed the acquisition of Dimex LLC, from Grey Mountain Partners, a private equity firm.

“The acquisition of Dimex underscores our longstanding commitment to stewardship of the environment and recycling, and to taking actions that contribute to a sustainable, circular economy,” said Robert Buesinger, Executive Vice President, Vinyl Products of Westlake Chemical Corporation. “We are at an important societal inflection point where consumers prefer and are willing to pay for products made with recyclable materials. Dimex produces a variety of consumer products made from post-industrial-recycled polyvinyl chloride, polyethylene and thermoplastic elastomer materials, which will make this transaction an important piece of Westlake’s growth trajectory and ESG commitment for a long time.”

According to a recent survey of 2,000 U.S. consumers reported by Plastics Today, 59% of respondents appreciate buying items made with recycled materials and are willing to pay more for such products. Recycling reduces landfill waste and saves energy from plastics production.

Buesinger continued, “Dimex has over 30 years of experience and is one of the largest processors of recycled plastic materials in the United States. Dimex also supplies recycled flexible PVC and TPE compounds to other environmentally conscious manufacturers. Because Dimex uses its compounds in its own products, the company is uniquely positioned to understand its customers’ needs and to provide the engineering, manufacturing, and distribution capabilities to meet those needs quickly and effectively.”

Based in Marietta, Ohio, Dimex produces a range of consumer and building products, including landscape edging; industrial, home and office matting; marine dock edging; and masonry joint controls. Following its acquisition by Grey Mountain Partners in 2013, the company expanded its product development resources, which resulted in the introductions of No-Dig Landscape Edging®, MotionTex® Fitness Equipment Mats, and GrillTex® Under the Grill Protective Deck and Patio Mats. Over the last four years, Dimex has secured 29 U.S. patents for its products.

“With the acquisition of Dimex, we are significantly adding to our growing portfolio of environmentally friendlier products,” said Albert Chao, President and Chief Executive Officer of Westlake. “Westlake is continually improving how it incorporates recyclable plastic materials into products to serve our customers’ demands for innovative engineering and consumer interest in environmentally responsible goods. Our commitment to Environmental, Sustainability and Governance (ESG) objectives is focused on our mission of providing essential products and critical innovations for materials used in building and construction, consumer lifestyles and nutrition and healthcare.”

Westlake’s sustainable products portfolio includes GreenVin™, a caustic soda produced with renewable energy by the Company’s Vinnolit subsidiary, and Aspire Vinyl®, the first phthalate-free, bio-based compounds with more than 35% renewable content. Westlake is also actively pursuing a one-pellet solution to incorporate post-consumer resin (PCR) while maintaining the strength of plastic materials and, separately, is participating in the EU Circular Flooring Project to enable post-consumer PVC flooring recycling.

In addition to providing products manufactured with post-industrial recycled materials, Dimex is engaged in research and development to advance additional opportunities to increase the use of recycled materials. The acquisition expands Westlake’s role in improving how plastic materials are sourced and produced to meet the growing demand for sustainable and durable consumer products.

About Westlake

Westlake is a global manufacturer and supplier of materials and innovative products that enhance life every day. Headquartered in Houston, we provide the building blocks for vital solutions — from building products and infrastructure materials, to packaging and healthcare products, to automotive and consumer goods. For more information, visit the company's web site at www.westlake.com.

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