Toray Industries Inc. said Thursday it will buy Dutch carbon-fiber-maker TenCate Advanced Composites Holdings BV for €930 million ($1.15 billion) in its largest ever acquisition to expand its aircraft applications business.
Toray, the world's top carbon-fiber supplier, agreed on the purchase with TenCate's parent firm Koninklijke Ten Cate BV. The transaction will be completed later this year after gaining approval from regulatory authorities, it said.
TenCate, with its main production bases in Europe and the United States, is a leading supplier of carbon-fiber intermediate materials using thermoplastic resins. Such carbon fiber products can cut manufacturing costs of small- and midsize aircraft by improving the molding efficiency of components, according to Toray.
TenCate has annual sales of around €200 million.
Toray has been expanding its carbon fiber operations overseas through acquisitions and output increases at a U.S. plant. It bought U.S. carbon fiber maker Zoltek Companies Inc. for about $580 million in 2014.