Bluestar's Acquisition of Adisseo (B) Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Bluestar Group is the largest subsidiary of ChemChina and a company of Fortune 500. China, mainly relied for a long time on import of methionine, a feed additive, because it had no production of methionine in the country. This case describes the process of integration by Bluestar, following the acquisition of Adisseo of France in 2006.

Bluestar started to provide support Adisseo for it upstream businesses M&A in France, replaced the board and sent an expert group for a detailed analysis of Adisseo, enhanced the production capability of the company in Spain and France, as to improve the integration of Adisseo with Bluestar.

The key initiative in response to this acquisition was the Nanjing project in 2010, which they started to produce methionine within the China. This project strengthened the integration process through the steps, including team formation for project, management system and organization transplantation, firm structure replication, negotiations with trade union and awareness of existing culture and needed culture.

Adisseo was needed to consider the ways for future development as it was confronted with overcapacity of the industry. However, the market of methionine in China had a rapid growth, which reflected the potential opportunities in this segment. Furthermore, the parent company, ChemChina, and Bluestar captured a significant standing in later years in the process of the integration.