#USA #AI Technology #Columbus #Hexion #Smartech

Hexion Completes Acquisition of Smartech

Hexion Inc., renowned globally for its performance materials and adhesive solutions, has made headlines with its recent acquisition of Smartech, a pioneer in AI-driven autonomous manufacturing solutions. This strategic move marks Hexion’s first acquisition in a decade and signifies a transformative approach toward modern manufacturing, focusing on efficiency, cost-effectiveness, and sustainability.

Transformative Leadership

Michael Lefenfeld, Hexion’s President and CEO, expressed excitement about integrating Smartech’s advanced artificial intelligence capabilities into Hexion's existing operations. He emphasized the alignment of both companies in addressing crucial industry challenges related to rising raw material costs, supply chain pressures, and environmental concerns. “Our investment in AI-driven innovation places Hexion at the forefront of smart manufacturing,” Lefenfeld stated.

With manufacturing sectors facing unprecedented challenges, this merger aims to empower manufacturers, providing them with tools to optimize production processes, cut waste, and enhance product quality, all while nurturing sustainable growth.

Synergetic Technologies

Smartech's award-winning technologies incorporate state-of-the-art AI, advanced control systems, and process optimization algorithms, leading to significant improvements in customers’ manufacturing processes. Products such as SmartWAX, SmartPF, and the flagship SmartMDI system seamlessly integrate with Hexion's extensive product portfolio, particularly benefiting wood processing industries.

SmartMDI, for example, utilizes dynamic chemical control to enhance resin application precision in engineered wood production. This innovation not only improves surface coverage and reactivity but also reduces raw material costs and volatile organic compound (VOC) emissions. The estimated cost savings per factory exceed 15%, showcasing the dual economic and environmental advantages of the new technology.

Commitment to Sustainable Manufacturing

The acquisition aligns with Hexion’s five-year transformation journey under American Securities, which acquired the company in 2022. This strategic direction amplifies Hexion’s long-term vision of delivering immediate value while preparing for its next century of market leadership through a focus on innovation, operational excellence, and strategic partnerships.

Hanoch Magid, CEO of Smartech, highlighted that this partnership will broaden the reach and impact of Smartech’s AI technologies on a global scale. It stands to deliver immediate value to manufacturers striving to balance cost controls, plant modernization, and environmental responsibility.

The Big Picture

As both companies continue to refine their strategies in a competitive landscape, the renewed commitment to AI-powered, sustainable manufacturing solutions stands to redefine industry standards. Market shifts demand innovative responses, and the collaboration between Hexion and Smartech is poised to lead the charge, crafting a more resilient and environmentally aware manufacturing sector.

Smartech will maintain its operations as an independent business unit, continuing to offer its services to clients worldwide. The financial terms of the acquisition have not been disclosed, but the implications for both companies' future trajectories are profound.

About Hexion

Hexion is one of the leading global producers of adhesives and high-performance material solutions. It has dedicated itself to developing sustainable solutions that address the challenges posed by a changing climate and preserve natural resources.

About Smartech

Founded in 2005, Smartech specializes in AI-based manufacturing solutions that enhance efficiency, sustainability, and production quality. With a solid presence in North America, Europe, and APAC, Smartech is known for its innovative technologies that redefine traditional manufacturing processes and establish new benchmarks in digital automation.

For more information, visit Hexion and Smartech.