The Walsrode Industrial Park, covering 1.7 square kilometres, has a long-standing reputation in the chemical industry and is home to several businesses. CSG will take over the production of nitrocellulose at the site, which includes facilities such as a railway siding and a cogeneration power plant. Under IFF, the plant primarily produced nitrocellulose for industrial applications, including coatings and printing inks, employing over 350 workers.
CSG plans to expand production to include energetic nitrocellulose, which is used in defence applications, aligning with its strategic interests. This expansion will involve further investments and regulatory consultations. According to Jan Marinov, CEO of CSG Defence Division, the acquisition provides an opportunity to secure long-term prospects for the nitrocellulose business, which is vital for both the ammunition industry and other sectors like printing and coatings.
The agreement between MSM Group and IFF was signed in early October, with the transaction expected to be finalised by the first half of 2025, pending regulatory approvals. Marinov emphasised the strategic importance of this acquisition for NATO and EU security, as Europe must avoid dependence on external suppliers for such critical materials. He added that this move strengthens CSG’s role as a manufacturer in Germany, a key economic partner of the Czech Republic.
Source: Czechoslovak Group (CSG).
