ZURICH (Reuters) - Clariant <CLN.S> will take a 10% stake in French cosmetics ingredients maker Plant Advanced Technologies <ALPAT.PA>, the Swiss speciality chemicals company said on Friday, setting up a strategic partnership between the two companies.
The partnership combines PAT's research in discovering and producing compounds from plant roots together with the marketing and sales expertise of Clariant's Active Ingredients business, Clariant said.
The companies will work together to develop new premium products which will be marketed through Clariant's global network, it added. Financial terms of the deal were not disclosed.
PAT is known for its development of milking technology that is used obtain ingredients from roots several times a year without destroying the plant.
The Nancy-based company has also developed a technique which identifies compounds in complex mixtures that can be used to develop new cosmetics.
Care chemicals, whose consumer business supplies ingredients for soaps and shampoos, has become one of Clariant's focus areas after the company's chief executive quit earlier this year and a joint venture with Saudi Basic Industries (SABIC) collapsed..
Hans Bohnen, a member of the Executive Committee at Clariant, said: "We are excited to further improve our offer to the Personal Care market through this new investment that reflects Clariant's on-going commitment to a more sustainable industry."
(Reporting by John Revill; Editing by Tassilo Hummel and David Evans)