Kraton Corporation Announces Global Price Increase for Tall Oil Fatty Acids

Rhea-AI Summary

Kraton Corporation (NYSE: KRA) announced a global price increase of up to 10% for Tall Oil Fatty Acids (TOFA), effective January 1, 2021. The decision is subject to applicable contract terms. Kraton is a leading producer of specialty polymers and high-value biobased products, utilizing pine wood pulping co-products. Their products serve various markets, including adhesives, coatings, and personal care, with a diverse customer base in over 70 countries.

Positive

• Kraton is implementing a price increase for TOFA, which could enhance revenue.
• Kraton maintains a diverse product portfolio serving multiple markets, reducing dependency on a single source of income.

Negative

• A price increase may lead to decreased demand in the competitive market.

News Market Reaction – KRA

-2.51%

-2.51% Session move

In the trading session that priced this news, KRA declined 2.51%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

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HOUSTON, Nov. 18, 2020 /PRNewswire/ -- Kraton Corporation (NYSE: KRA), a leading global sustainable producer of  specialty polymers and high-value biobased products derived from pine wood pulping co-products, announces a general price increase of up to 10% for Tall Oil Fatty Acids (TOFA). Subject to the terms of any applicable contracts, this price increase will take effect January 1, 2021.

ABOUT KRATON
Kraton Corporation (NYSE "KRA") is a leading global producer of specialty polymers and high-value performance products derived from renewable resources. Kraton's polymers are used in a wide range of applications, including adhesives, coatings, consumer and personal care products, sealants and lubricants, and medical, packaging, automotive, paving and roofing products. As the largest global provider in the pine chemicals industry, the company's pine-based specialty products are sold into adhesive, road and construction and tire markets, and it produces and sells a broad range of performance chemicals into markets that include fuel additives, oilfield chemicals, coatings, metalworking fluids and lubricants, inks and mining. Kraton offers its products to a diverse customer base in over 70 countries worldwide. Kraton, the Kraton logo and design are all trademarks of Kraton Corporation or its subsidiaries or affiliates.

For Further Information:
H. Gene Shiels 281-504-4886

 

 

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SOURCE Kraton Corporation

FAQ

What is Kraton Corporation's recent price increase announcement about?

Kraton Corporation announced a price increase of up to 10% for Tall Oil Fatty Acids (TOFA) effective January 1, 2021.

When will the price increase for Tall Oil Fatty Acids take effect?

The price increase for Tall Oil Fatty Acids will take effect on January 1, 2021.

How does Kraton Corporation's price increase affect its investors?

The price increase may positively impact Kraton's revenue but could also lead to decreased demand.

What products does Kraton Corporation produce?

Kraton produces specialty polymers and high-value biobased products derived from renewable resources.

In which markets does Kraton Corporation operate?

Kraton operates in various markets including adhesives, coatings, consumer care, and automotive applications.