Industrial gas giants realign their strategies

- Jul 16, 2019-

Since Linde and Praxair completed a $90 billion peer-to-peer merger at the end of October 2018 (with a market capitalization of $90 billion, the world's largest gas group was born!), the concentration of the industrial gas industry has further increased. At present, three global companies in the industry – liquid air, air products and Linde – account for 70% of the global industrial gas market, excluding self-produced gas. Analysts believe that the divestiture and corresponding regulatory review along with the merger of Linde and Praxair may make Germany's Messer Group and Japan's Dayangri acid become the main competition in the global industrial gas industry. Not only will the global industrial gas market structure change, but industry giants will also realign their development strategies.

It is understood that in order to obtain approval from the anti-monopoly agency, Linde agreed to sell most of its assets in the Americas to a consortium of Messer Group and global private equity firm CVC Capital Partners, and Praxair agreed to Most of Europe's business is sold to Dayang. John Campbell, an industrial gas expert at Intelligas Consulting in the United States, said: "These divestiture activities have made Messer and Dayangji acid among the top five industrial gas companies in the world. Buying Linde and Praxair assets will make Messer With Dayangji Acid, it has the ability to trade in Asia, Europe and the United States, strengthen its business in Asia, Europe and the United States, achieve customer globalization and give them greater market power."www.wxytgas.com