ELANTAS Electrical Insulation

Wesel, January 20th, 2006

ALTANA Chemie Acquires Electrical Insulation Production of INVEX

Strategic and Geographic Expansion of Division Electrical Insulation in the Mercosur Area.

ALTANA Chemie AG, the chemicals division of ALTANA AG (NYSE: AAA, FSE: ALT), has agreed with INVEX S.p.A., Italy to buy its captive production of resins for insulating magnetwire in Cerquilho, Brazil. Completion of the transaction is planned to take place in the second quarter of 2006. ALTANA Chemie will take over the chemical production site, including all employees and production assets. Details of the purchase price have not been disclosed.

The newest member of ALTANA Chemie, ALTANA Isolantes Elétricos do Brasil Ltda. further completes the global coverage of the Division Electrical Insulation. ALTANA Chemie intends to expand the production capacity of the plant and will integrate its existing South American electrical insulation business, currently operated by a licensee. ALTANA Chemie is a leading supplier of wire enamels, which are an essential part of electric motors, generators and transformers. INVEX is one of the world’s prominent magnetwire producers and already one of ALTANA Electrical Insulation’s customers. 

Angelo Venezia, president of INVEX, Quattordio/Italy commented: “This transaction will allow us to focus on our core activities in wire production while leaving the essential chemical expertise in good hands to the best partner in the market”.

ALTANA Chemie’s Dr. Wolfgang Schütt, President of the Division Electrical Insulation added: “Joining our production facilities in the EU, NAFTA, China and India, the Brazilian operation will further complete our global footprint with a presence in the Latin American trading block Mercosur.” Dr. Matthias L. Wolfgruber, President and CEO of ALTANA Chemie AG, supplemented: “So far ALTANA Chemie`s presence in South America was spearheaded by BYK-Chemie, who is operating a technical service lab in São Paulo. This move will establish a bridge head for ALTANA Chemie facilitating the entry of the remaining Divisions on the continent.”