Mitsubishi Rayon acquires Lucite

Perspex maker

is to be acquired by

for around $1.6bn (£1.1bn). The acquisition, which is subject to approval by the relevant regulatory authorities, is expected to be completed by the end of January 2009.

Lucite is the world's leading manufacturer of methyl methacrylate (MMA) and owner of the Lucite and Perspex brands. The company was formed from an amalgamation of the acrylics businesses of ICI and DuPont in 1993 and has been majority owned by the private equity investor Charterhouse Capital Partners since 1999.

The acquisition will make Mitsubishi Rayon the global leader in the market and confirm its position as the leading acrylics manufacturer in Asia.

The acquisition will lift Mitsubishi Rayon’s annual sales to approximately ¥600bn, putting it well on the way towards achieving its target of ¥1tn in annual sales.

In 2007, Lucite generated revenues of £849m and earnings before interest, tax, depreciation and amortisation (EBITDA) of £114m. It has an annual turnover in excess of $1.5bn and employs a workforce of over 2,100 people serving customers in over 100 countries worldwide.