Evonik Industries, through its venture capital arm, has invested in Avenel, NJ-headquartered Nanotech Industrial Solutions, Inc. (NIS) and now holds a minority share in the company. The parties have agreed not to disclose the volume of the transaction.
NIS plans to use the proceeds for further growth of the company. Evonik received a seat on the Board of Directors of NIS. The company, which was founded in 2012, has commercialized a unique particle technology for the lubricants industry and believes to be an emerging leader in high-performance lubricant additives.
NIS produces oil additives for engine oils, oil and water formulations for metalworking lubricants, industrial oils and additive formulations for greases. NIS patented technology releases nano structured materials under certain physical conditions. The unique morphology significantly improves friction and wear properties, resulting in a substantial contribution of the technology to resource efficiency of cars, power plants and industrial plants. By investing in this company, Evonik gains access to inventions in a unique particle technology in lubricants said Lutz Stoeber, responsible for Evoniks Venture Capital activities in North America. An additional strategic fit to Evonik results from the potential of the new technology to bring groundbreaking inventions to the lubricants market.
As part of the investment, NIS and the Oil Additives Business Line completed a commercial agreement. Evonik believes that the investment offers the chance to fulfill even more demanding customer requirements. Whats more, access to the technology of NIS opens up further development opportunities for our current products as well as new products in our existing and also future markets, emphasized Ralf Düssel, head of the Oil Additives Business Line.
Todays announcement marks a key milestone in NIS journey to take cutting edge nanotechnology into the lubricant industry. Working together, we [NI0 and Evonik can take to market transformational products in the lubricant additives industry and beyond, commented Eugene Kverel, President and CEO of NIS.
Our patented nanotechnology is already making a massive impact with customers around the world and to have on board such a recognized company like Evonik will help to develop a global presence. Todd Cawley Vice President of Global Sales and Marketing continues, Evonik is known to be one of the worlds most innovative companies and to have them as an investor in NIS is a further step in our substantial growth.
EcoMachines Ventures, an early investor in NIS, advised on the investment and assisted with the structuring of the transaction. EcoMachines Ventures CEO Dr. Ilian Iliev said We are excited at the pace at which NIS is developing into a market leader. The support of a leading industry player such as Evonik will help the company grow faster and into many more markets.
Evonik plans to invest a total of 100 million in promising start-ups with innovative technologies and in leading specialized venture capital funds as part of its venture capital activities. Regional focuses are Europe, the United States and Asia. Currently, Evonik holds stakes in ten start-ups and four funds.
Germany-based Evonik is one of the world leaders in specialty chemicals. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik is active in over 100 countries around the world. In fiscal 2015 more than 33,500 employees generated sales of around 13.5 billion and an operating profit (adjusted EBITDA) of about 2.47 billion.
Nanotech Industrial Solutions is the manufacturer of NanoLub®, an innovative nano lubricants and additives based on fullerene-like tungsten disulfide particles. These revolutionary particles were first developed in 1992 by Prof. Reshef Tenne who was nominated for a Nobel Prize. The technology is exclusively licensed to Nanotech Industrial Solutions for commercialization Worldwide. NIS's global corporate office, commercialization R&D lab, manufacturing, blending and packaging facilities are located in Avenel, NJ.
EcoMachines Ventures is a London-based investor and advisor focused on industrials. The company fosters the development of world-class technology in the Energy, Transport, Circular Economy, Smart City and Industrial High-tech sectors.
