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DyStar transitions to full ownership under Zhejiang Longsheng Group
Specialty chemical producer DyStar is now a wholly owned subsidiary of Zhejiang Longsheng Group. The resolution of a shareholder dispute paves the way for unified governance, strengthened operations, and an enhanced focus on innovation and sustainability.
Singapore-headquartered specialty chemical company DyStar has formally announced its transition to being fully owned by Zhejiang Longsheng Group. This development follows the resolution of a lengthy shareholder dispute between Zhejiang Longsheng and KIRI Industries, culminating in the acquisition of KIRI’s 37.5 % shareholding by the Chinese chemical producer. The transaction, confirmed on 30 December 2025, consolidates the company’s governance and positions it for long-term growth.
The acquisition was executed under a series of agreements, including a Share Buy-Back Agreement and an Amended and Restated Share Purchase Agreement, finalised in December 2025. The total consideration for KIRI’s shares amounted to approximately EUR 644.5 million, with DyStar contributing EUR 398.7 million and Zhejiang Longsheng’s subsidiary, Sende International Capital, providing EUR 245.8 million. Deloitte & Touche Financial Advisory Services oversaw the completion of the transaction, ensuring transparency and regulatory compliance.
Unified leadership and future initiatives
With the conclusion of all litigation and the resignation of KIRI-appointed board members, the specialty chemical producer is now under unified governance. Mr Ruan Weixiang, Chairman of DyStar’s Board of Directors, highlighted the strategic importance of this transition, stating that full ownership aligns with Zhejiang Longsheng’s ambition to become a world-class provider of specialty chemical production services.
The company’s Managing Director and President, Xu Yalin, echoed this sentiment, emphasising that unified leadership will accelerate innovation, bolster global operations, and advance sustainability initiatives. The specialty chemical producer seeks to leverage its new position to deliver enhanced value to stakeholders and strengthen its partnerships worldwide.
Implications for the global coatings industry
The firm’s expertise in specialty chemicals, including dyes and additives, plays a pivotal role in the paints and coatings sector. The consolidation under Zhejiang Longsheng’s ownership is expected to improve operational efficiency and drive advancements in sustainable chemical solutions. This move reflects broader trends in the industry, where streamlined governance and strategic partnerships are increasingly prioritised to address evolving market demands.
The company has reaffirmed its commitment to transparency and sustainability as it embarks on its next phase of growth. Industry observers will be keenly watching how this development impacts the company’s product innovation and its ability to address global challenges in the coatings and specialty chemical markets.
