
Insulation industry news from Global Insulation
Finland/Spain: Finland-based UPM Biochemicals and Spain-based URSA have developed a new type of glass wool insulation that uses a proprietary lignin-resin binder. The companies have worked together to optimise the binder composition for both performance and smooth runnability on URSA’s production lines. UPM Biochemicals says that UPM BioPiva lignin is a “sustainably produced, cost-effective and versatile raw material that has proven valuable in the creation of many value-added industrial applications, especially in lignin-based phenolic resins.”
Christian Hübsch, Director Sales & Marketing at UPM Biochemicals said “We are thrilled about having reached this milestone together with our partners from URSA, as it marks a potentially disruptive innovation for the insulation materials industry in general, and a great achievement for URSA with its long-held vision to go green and to reduce the carbon footprint of its products,”
Wolfgang Marka, Managing Director of URSA-Adria, added “We undertook long-term studies with UPM Biochemicals to assess the viability of replacing synthetic resins with a new bio-based binder and we are excited to produce one of the most sustainable glass wool insulation materials available.”
UPM Biochemicals develops and sells wood-based biochemicals for use in a variety of industries including insulation. It is building an industrial-scale biorefinery in Leuna, Germany to convert solid wood into biochemicals.
URSA produces both mineral wool and extruded polystyrene (XPS) insulation products in Europe. It is a subsidiary of Etex.
Metsä Group invests in Fiberwood
13 February 2023Finland: Metsä Group has invested in wood fibre insulation producer Fiberwood in a late seed funding round. The round was led by Metsä Group’s new business and research subsidiary Metsä Spring. It also included government financing from Business Finland.
Fiberwood is developing and manufacturing wood fibre insulation and packaging materials made from mechanical wood industry side streams. The Finland-based company was founded in 2019.
Karita Kinnunen-Raudaskoski, the Director of Technology and Product Development at Fiberwood, said “Since September 2022, in our first phase of production we have been able to produce commercial-sized insulation boards for testing. Next, we will build a continuous pilot line for production-scale product and process development. As no existing machinery and processes can produce our products, we need to invent new technology to do so.”
Court upholds Finnish EPS cartel ruling
17 November 2022Finland: The highest court in Finland has confirmed the finding of a serious infringement of antitrust laws by expanded polystyrene (EPS) insulation materials producers at appeal. Mondaq Business Briefing News has reported that two materials producers must now pay a fine of Euro3.2m. A third producer, which provided information to the Finnish Competition and Consumer Authority, received immunity for its involvement. The trio colluded on product pricing between November 2012 and mid-2014.
Paroc launches new sustainability goals
29 October 2020Finland: Owens Corning subsidiary Paroc has committed to reduce CO2 emission by 50%, reduce plastics use by 30% and achieve zero waste by 2030. The company that it will also “expand the use of the Rewool customer waste recycling solution and develop and offer new low carbon products,” as exemplified by its launch of the new carbon-neutral product Paroc Natura line in early 2021.
Owens Corning Insulation Europe regional sustainability leader Beatrice Hallén said, “Paroc is in the business of energy efficiency. For each tonne of CO2 generated in the manufacturing of stone wool, about 200t of CO2 is saved by stone wool’s thermal insulation properties over a 50-year period. That does not mean we are content. We want to turn every stone to find new ways to make our general footprint as small as possible. We want to be forerunners in developing sustainable buildings together with our customers. We also want to design our products and solutions for recycling and reuse. For us, sustainability is about meeting the needs of the present while leaving the world a better place for the future.”
Recitel’s nine-month sales fail to match growing volumes
04 November 2019Netherlands: Nine-month restated sales for Recitel fell by 7.3% year-on-year to Euro924m in September 2019 compared to Euro997m in the corresponding period of 2018. Despite ‘double-digit’ volume growth, insulation sales over the period fell by 4.5% to Euro193m from Euro202m due to pricing issues stemming from the loss of market share to fibre insulation as a lingering after-effect of the isocyanate shortage of 2017. The company noted the ‘ramping-up’ of production at its new plant in Finland, with all products now certified for sale in the Nordic countries. Recticel CEO Olivier Chapelle noted the continued substantial decrease in debt as a positive in the period.
Paroc adopts new branding following acquisition by Owens Corning
15 October 2018Finland: Paroc has started to introduce new logotype, updated packages and new communication material following its acquisition by Owens Corning. The insulation materials producer said that is was a ‘strong’ brand and that it would continue marketing its products under the red-and-white striped brand image. The company was purchased by US-based Owens Corning in early 2018.
Recticel’s sale pick up following end to MDI shortage
30 August 2018Belgium: Recticel’s sales from its insulation division have rallied following the resumption on methylene diphenyl diisocyanate (MDI) supplies after a shortage in 2017 and poor weather in the first quarter of 2018. Its sales rose by 2.7% year-on-year to Euro129m in the first half of 2018 from Euro133m in the same period in 2017. Earnings before interest, taxation, depreciation and amortisation (EBTIDA) increased by 60.6% to Euro14.2m fro Euro22.8m. It attributed the growth in profitability to price rises and efficiency gains. The company also said that the construction of a new plant in Finland, dedicated to the supply of the Scandinavian and Baltics markets, is on schedule to start up in late 2018.
Owens Corning completes acquisition of Paroc
06 February 2018US: Owens Corning has completed its acquisition of Finland’s Paroc Group for Euro900m. Completion followed the US company obtaining all the necessary regulatory clearances to buy the mineral wool producer.
“We’ve had a strategic goal to broaden our product portfolio and diversify our geographic scope to better address our customers’ needs and support their growth. The acquisition of Paroc does both. We now have a leading position in Europe and in the global mineral wool business,” said Julian Francis, president of Owens Corning’s Insulation Business.
Owens Corning to buy Paroc Group
30 October 2017US/Finland: Owens Corning has signed an agreement with CVC Capital Partners to acquire Paroc Group for Euro900m. The sale, which is subject to regulatory approvals and other customary conditions, is anticipated to close in early 2018. The company plans to finance the acquisition through a combination of long-term debt and pre-payable bank financings.
“The acquisition of Paroc delivers on Owens Corning’s strategy to provide our customers with a portfolio of insulation products that cover the full temperature spectrum in the three largest insulation markets – Europe, North America and China. Over its 80-year history, Paroc has earned a reputation for high-quality products and technical expertise,” said Owens Corning chairman and chief executive officer Mike Thaman.
The acquisition of Paroc is expected to expand Owens Corning’s mineral wool technology, grow its presence in the European insulation market, provide access to a variety of new end-use markets and will increase the company’s sales mix of the insulation business outside the US and Canada to 35%.
Paroc is a European manufacturer of mineral wool insulation solutions for a variety of end markets. Paroc manufactures building insulation for thermal, fire and acoustic applications in residential and commercial construction. The company also manufactures technical insulation for HVAC (heating, ventilation, and air conditioning) systems, industrial processes and the marine, offshore and original equipment manufacturer industries. It employs over 1800 people in 13 countries and operates facilities in Finland, Lithuania, Poland, Russia and Sweden.
Recticel to build new Euro23m plant in Finland
22 June 2017Finland: Recticel plans to build a new Euro23m polyurethane (PUR) foam insulation board plant. Production at the site is scheduled to start in the second half of 2018. The site will manufacture thermal insulation products for sale in Finland, Norway, Sweden, Denmark and the Baltic countries
“This investment is an additional step in the execution of the growth strategy of our Insulation business. It offers an attractive expansion in the Nordic region, which is a growing market for high performance insulation materials,” said Olivier Chapelle the company’s chief executive officer (CEO).