Zurich, Switzerland, April 30, 2021 – DKSH today announced the acquisition of Australian agrochemicals distributor and blender SACOA, further expanding its Performance Materials business in Asia Pacific. The own-brand acquisition is in line with DKSH's strategy to further diversify its value-added service offering and will raise the company to a leading position in the distribution of specialty agricultural chemicals in Australia. 

SACOA is a leading Australian formulator of premium agricultural crop protection products. Founded in 1994, the family-owned business develops, formulates and sells spray oils and adjuvants to a long-term customer base of agricultural distributors, resellers and farmers. The product range is supported by industry and academic research and field trial programs as well as proprietary and trademarked brand names.

To support sustainable farming in Australia, SACOA products improve the effectiveness of agricultural goods, lowering costs; reduce spray frequency by solving tank mix compatibility issues; and increase water retention in non-wetting soils, thereby improving germination rates. SACOA's portfolio is highly complementary to DKSH's product portfolio, recently enhanced through the 2020 acquisition of Axieo, including its subsidiary SST, a leading supplier of adjuvants and spray additives, in Australia and New Zealand. 
 

SACOA is expected to generate net sales of around CHF 15 million¹ at good profitability and return on capital. The acquisition is immediately earnings-accretive and DKSH will acquire 100% of the business. SACOA will be fully integrated into DKSH and the sales teams will be merged to create revenue synergies.