BASF and Kemira announced this week that Kemira will acquire BASF's global alkyl ketene dimer (AKD) emulsion business. The transaction is expected to close in the first half of 2014.

"Kemira is a global leader in paper and pulp chemistry and the leading supplier of sizing products for the paper industry. This acquisition of the AKD emulsion business is one part in implementing our strategy and will further strengthen our possibilities to serve our Paper customers especially on the continental European market", said Kenneth Nystén, Senior Vice President, Regional Business Unit Paper EMEA.

With this transaction BASF, the leading supplier of paper chemistry, will further optimize its paper chemicals portfolio in order to focus on customer-oriented products and solutions to improve the efficiency of paper machines and lower the total cost of operation. "In line with our recent announcement we have evaluated all strategic options for the AKD emulsion business and found an excellent partner in Kemira who will ensure a smooth transition and uninterrupted supply of customers", said Andreas Tuerk, Senior Vice President, Paper Chemicals Europe.

The parties have agreed not to disclose financial details of the agreement.