DOMO Group Bankruptcy Marks Major Industry Shift

The European chemicals sector is undergoing another major transformation following the bankruptcy declaration involving several companies within the DOMO Group. On April 28, the Commercial Court in Ghent, Belgium, officially declared bankruptcy for Domo Chemicals Holding, Domo ICT, and Domo Engineered Materials, all based in Zwijnaarde.

The court decision follows months of financial instability that had already affected numerous subsidiaries and operations within the Belgian chemical group. The insolvency proceedings represent one of the most significant restructuring events recently seen in the European engineering plastics market.

Despite the bankruptcy of the parent company and related entities, a substantial part of the business has secured a future through strategic acquisitions designed to preserve industrial operations and maintain international production capacity.

Lone Star Funds Acquires Engineering Plastics Operations

The engineering plastics division of DOMO has been protected through an acquisition led by private equity firm Lone Star Funds. The transaction includes Domo Engineered Materials as well as selected businesses previously owned by RadiciGroup, specifically the High Performance Polymers and Specialty Chemicals divisions.

This strategic combination creates a broader international platform focused on engineering plastics and advanced materials. Industry analysts expect the integration to strengthen production efficiency, improve market competitiveness, and stabilize operations that had been at risk because of DOMO’s financial difficulties.

The acquisition also protects important manufacturing facilities and technical centers that serve automotive, industrial, electrical, and consumer applications across multiple continents.

International Manufacturing Sites Included in the Deal

Several industrial sites and business units were transferred to Lone Star as part of the agreement. Alongside the Italian manufacturing plant in Arco, located in the province of Trento, the deal includes production facilities in Premnitz, Germany, and Gorzów, Poland.

Additional support and operational functions located in Belgium, Germany, Spain, Poland, and India are also part of the transition. The agreement further extends to international commercial offices in Haiyan, China; Mumbai, India; Seoul, South Korea; and Buford in the United States.

The broad geographic footprint demonstrates the global importance of the engineering plastics sector and highlights how multinational supply chains remain critical for advanced manufacturing industries.

Sales, Marketing, and Masterbatch Activities Preserved

Beyond manufacturing assets, the transaction also includes important commercial and technical operations. Sales and marketing teams in France, together with the Lyon application development center, are now integrated into the new structure managed by Lone Star.

Industrial activities linked to masterbatches are also included in the acquisition. Masterbatches play an essential role in plastics production because they allow manufacturers to introduce colors, additives, and performance-enhancing properties into polymer materials.

By maintaining these specialized operations, the new ownership structure aims to preserve technological expertise and continue supporting customers across multiple industrial sectors.

Separate Acquisition for German Polyamide Facility

While many DOMO assets were transferred to Lone Star Funds, another important German operation followed a different path. The Leuna plant, which specializes in the production of polyamide 6, was acquired separately in April.

The buyer is Leuna-Polyamid, a newly established company created through cooperation between InfraLeuna and Leuna-Harze. This acquisition ensures continuity for one of the region’s important chemical production sites and helps preserve manufacturing capabilities connected to engineering polymers.

Polyamide 6 remains a strategically important material widely used in automotive parts, textiles, electronics, and industrial applications because of its durability, heat resistance, and lightweight characteristics.

What the Deal Means for the Plastics Industry

The restructuring of DOMO’s businesses reflects broader challenges currently facing the European chemicals industry. Rising energy costs, global competition, weaker industrial demand, and economic uncertainty have placed increasing pressure on manufacturers across the region.

At the same time, the acquisition activity surrounding DOMO demonstrates that investors still recognize strong long-term value in engineering plastics and specialty chemical technologies. Demand for lightweight and high-performance materials continues to grow in sectors such as electric vehicles, renewable energy systems, electronics, and sustainable packaging.

The integration of DOMO Engineered Materials with selected RadiciGroup operations could eventually create a stronger and more competitive international supplier capable of responding to changing market requirements while preserving important industrial expertise.

For employees, customers, and suppliers, the acquisition offers greater operational stability after months of uncertainty surrounding the financial condition of the Belgian group.