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Chinese market leader in wood-based activated carbon plans to invest $25.6 million to acquire a 49% stake in a Mexican activated carbon processing company from a major U.S. chemicals and performance materials provider. This move aims to expand its presence across the American continent.
As part of the deal, the U.S. company will exit its stake, while the majority shareholder of the Mexican firm, Adminvest S.A.P.I. de C.V., which holds 51%, remains supportive of the transaction. The Chinese buyer announced this development yesterday.
Wood-based activated carbon, produced through the carbonization and activation of wood, is a significant product alongside coconut-shell variants. It finds applications in food and beverage processing, water treatment, and pharmaceuticals.
The Mexican company operates processing facilities in the Tula Industrial Park in Atlacomulco. Between January and August, it achieved operating revenues of approximately CNY 288 million (about USD 40.7 million) and a net profit of CNY 21.3 million (around USD 3 million).
The two companies have collaborated since 2008, with the Mexican firm tailoring activated carbon processing to meet specific customer needs. Sales from the Chinese firm to the Mexican company reached CNY 12.6 million in 2024, representing 0.7% of the Chinese company’s total revenue, and increased to CNY 14.3 million from January to October this year, accounting for 0.8%.
The Chinese company highlighted that the Mexican firm has established an efficient sales network across North, Central, and South America. Post-acquisition, it anticipates leveraging synergies in technology, market access, and talent to strengthen its overseas strategy in the Americas. Additionally, it plans to utilize Mexico’s rich wood chip resources to deepen regional expansion and solidify its global leadership in wood-based activated carbon.
The seller in this transaction, a subsidiary of a global activated carbon supplier, also operates manufacturing facilities in the United States and Canada.
By the end of trading, the Chinese company’s stock closed at CNY 15.67 (about USD 2.20), up 1.3%, after a peak intraday increase of 2.3%.
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