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Recently, Sumitomo Chemical announced that it has completed the acquisition of Piragro, an Italian agricultural pesticide manufacturer, for an undisclosed amount. Piragro mainly produces pesticides derived from natural ingredients, Sumitomo Chemical hopes to further enrich its product lineup and accelerate its expansion in Europe.
The acquisition was executed by Sumitomo Chemical's regional subsidiary. The Piragro uses the natural insecticidal ingredient "pyrethrin" extracted from pyrethrum and the like to create agricultural insecticides. The items are not only sold in European countries such as Italy, however also in the Middle East and Africa.
Previously, while Sumitomo Chemical has been in the business of biogenic pesticides, its related activities are mainly concentrated in the Americas. The acquisition aims to broaden its product portfolio and expand its presence in Europe. Sumitomo Chemical has positioned its agrochemicals business as a key development area and is still considering strengthening its business through mergers and acquisitions in view of the growing demand to biogenic pesticides.
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