Grupa Azoty S.A. (previously ''Zakłady Azotowe in Tarnów-Mościce'') is the leading Polish chemical industry company headquartered in the Mościce district of

Tarnów Tarnów () is a city in southeastern Poland with 105,922 inhabitants and a metropolitan area population of 269,000 inhabitants. The city is situated in the Lesser Poland Voivodeship since 1999. From 1975 to 1998, it was the capital of the Tarn� ...

, in the Lesser Poland Voivodeship of southeastern

Poland Poland, officially the Republic of Poland, is a country in Central Europe. It is divided into 16 administrative provinces called voivodeships, covering an area of . Poland has a population of over 38 million and is the fifth-most populou ...

. The company was established in 1927, during the Second Polish Republic, as one of the most modern factories in Europe at the time. Currently, Grupa Azoty is the largest chemical company in Poland and is a major producer of

fertilizer A fertilizer (American English) or fertiliser (British English; see spelling differences) is any material of natural or synthetic origin that is applied to soil or to plant tissues to supply plant nutrients. Fertilizers may be distinct from ...

plastic Plastics are a wide range of synthetic or semi-synthetic materials that use polymers as a main ingredient. Their plasticity makes it possible for plastics to be moulded, extruded or pressed into solid objects of various shapes. This adaptab ...

chemicals A chemical substance is a form of matter having constant chemical composition and characteristic properties. Some references add that chemical substance cannot be separated into its constituent elements by physical separation methods, i.e., wit ...

oxo alcohol Oxo alcohols are alcohols In chemistry, an alcohol is a type of organic compound that carries at least one hydroxyl () functional group bound to a saturated carbon atom. The term ''alcohol'' originally referred to the primary alcohol ethanol ...

s and

pigment A pigment is a colored material that is completely or nearly insoluble in water. In contrast, dyes are typically soluble, at least at some stage in their use. Generally dyes are often organic compounds whereas pigments are often inorganic compou ...

History

Since 2010, ''Azoty Tarnów'' have been undergoing a consolidation as one of the largest chemical enterprises in the country. The first significant event was its acquisition of 100% shares of the Unylon Polymers GmbH in Guben/Germany - polyamide manufacturing enterprise. The German business entered the Azoty Tarnów Capital Group and changed its name to ATT Polymers. Another step involved consolidating the Polish chemical industry, by merging the largest companies in this sector on the domestic market. This began by amalgamating Zakłady Azotowe in Tarnów with Zakłady Azotowe in Kędzierzyn-Koźle (ZAK S.A.). Azoty Tarnów purchased 52.6% B series shares of ZAK S.A. for PLN 150 million. In 2011 a decision was made to amalgamate Azoty Tarnów with Zakłady Chemiczne in

Police The police are a constituted body of persons empowered by a state, with the aim to enforce the law, to ensure the safety, health and possessions of citizens, and to prevent crime and civil disorder. Their lawful powers include arrest and th ...

(near Szczecin), with the State Treasury holding 60% of the shares. The Management Boards of both companies were in favour of the consolidation. Having obtained the consent of the Office of Competition and Consumer Protection and due to lack of objections from the German Federal Cartel Office, the facility in Tarnów began raising the funds necessary to complete the purchase. ZCh Police was successful in raising the funds for a controlling stake by issuing 25 million C series shares, approved by the Polish Financial Supervision Authority. Not only did these funds allow them to take over control over Police, but also to buy back another 40% of shares of the facility in Kędzierzyn from the state Treasury.

Hostile take over bid

In 2012 Azoty Tarnów became the target of a hostile take-over bid by the Russian Acron Group. On 16 May the Russian company attempted to take control of the Polish chemical company through its subsidiary Norica Holding S.à r.l. They announced a tender of PLN 36 per share for Zakłady Azotowe in Tarnów-Mościce. Acron Group managed to purchase only 12% of available shares. Steps taken by the company's management board and by the Polish Treasury, such as adoption by Parliament of legislation to control certain state investments, secured the enterprise against future hostile take-overs.

Expansion

On 13 July 2012, an offer for 6,116,800 shares of the Zakłady Azotowe in Puławy at PLN 110 per share, was announced. As a result of the call, the facility in Tarnów managed to obtain 10.3% shares of the facility in Puławy. This offer was the first step in the consolidation of the two largest chemical companies in Poland. The idea of merging Zakłady Azotowe in Puławy with Azoty Tarnów was supported by the Polish Treasury and the trade unions. On 15 November 2012 the management boards of Zakłady Azotowe in Tarnów and Puławy concluded an agreement for establishing the principles of cooperation and conducting negotiations. Later, Azoty Tarnów issued shares, available solely to the shareholders of the company in

Puławy Puławy (, also written Pulawy) is a city in eastern Poland, in Lesser Poland's Lublin Voivodeship, at the confluence of the Vistula and Kurówka Rivers. Puławy is the capital of Puławy County. The city's 2019 population was estimated at 47,4 ...

. They exchanged shares held in Zakłady in Puławy for shares of the Tarnów company, at a ratio of 1:2. Full performance of this stage still required consent of the

European Commission The European Commission (EC) is the executive of the European Union (EU). It operates as a cabinet government, with 27 members of the Commission (informally known as "Commissioners") headed by a President. It includes an administrative body ...

for the merger of both companies which was issued on 13 January 2013. Finally, a buy-back allowed Azoty Tarnów to purchase 95% of shares in Zakłady Azotowe in Puławy. Consolidation of the enterprises in Tarnów, Puławy, Police and Kędzierzyn-Koźle allowed for formation of one of the largest fertiliser companies in Europe, operating under the name of Grupa Azoty, consolidating ca. 75-80 per cent of the national fertiliser production. On 21 November 2013, the Company purchased 85% of shares of the only Polish sulphur producer by smelting, ''Kopalnia i Zakłady Chemiczne Siarki'', "Siarkopol” S.A. in Grzybów, from the Treasury. The value of the transaction was ca. PLN 400 million. Another important event in the history of the company was the purchase of a Phosphorite mine in

Senegal Senegal,; Wolof: ''Senegaal''; Pulaar: 𞤅𞤫𞤲𞤫𞤺𞤢𞥄𞤤𞤭 (Senegaali); Arabic: السنغال ''As-Sinighal'') officially the Republic of Senegal,; Wolof: ''Réewum Senegaal''; Pulaar : 𞤈𞤫𞤲𞤣𞤢𞥄𞤲𞤣𞤭 ...

. by Grupa Azoty Zakłady Chemiczne „Police” S.A. Zakłady in Police was able to purchase a controlling stake of 55% of AIG company shares for $28.5 million. This investment, now a subsidiary of Grupa Azoty, secured its own source of raw material for the production of

phosphorus Phosphorus is a chemical element with the symbol P and atomic number 15. Elemental phosphorus exists in two major forms, white phosphorus and red phosphorus, but because it is highly reactive, phosphorus is never found as a free element on Ear ...

and other multi-ingredient fertilisers integral to its business.

A leading European player

It is currently the largest chemical

holding company A holding company is a company whose primary business is holding a controlling interest in the securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own shares of other companies ...

. It is also a leading chemicals company in Europe, where it is the second largest producer of mineral fertilizers and

melamine Melamine is an organic compound with the formula C3H6N6. This white solid is a trimer of cyanamide, with a 1,3,5-triazine skeleton. Like cyanamide, it contains 67% nitrogen by mass, and its derivatives have fire retardant properties due t ...

, the third largest producer of compound fertilizers, and the fifth largest producer of plasticisers and polyamide 6.

Organisational structure

Grupa Azoty (formerly: Zakłady Azotowe in Tarnów-Mościce S.A.) forms a Holding Group with the following subsidiaries: * Grupa Azoty Zakłady Azotowe "Puławy" S.A.(abridged name: ''Grupa Azoty PUŁAWY''). * Grupa Azoty Zakłady Chemiczne "Police" S.A. (abridged name: ''Grupa Azoty POLICE''). * Grupa Azoty Zakłady Azotowe Kędzierzyn S. A. (abridged name: ''Grupa Azoty ZAK''). * Grupa Azoty ATT Polymers GmbH - producer of PA-6 in Western Europe, the company, as a result of affiliation with the Grupa Azoty, it is integrated with the supplier of caprolactam - material used in PA-6 production. * Grupa Azoty Kopalnie i Zakłady Chemiczne Siarki "Siarkopol" S.A. (abridged name: ''Grupa Azoty SIARKOPOL'', former KiZCHS Siarkopol S.A. in Grzybów). * Grupa Azoty Polskie Konsorcjum Chemiczne Sp. z o.o. (abridged name: ''Grupa Azoty PKCh''). *Grupa Azoty Jednostka Ratownictwa Chemicznego Sp. z o.o. (abridged name: ''Grupa Azoty JRCh'') – provides services within the scope of chemical rescue. * Grupa Azoty Automatyka Sp. z o.o. (abridged name: ''Grupa Azoty AUTOMATYKA'') – main field of operation: industrial automatics. * Grupa Azoty PROReM Sp. z o.o. – technological installations for chemical power engineering, nutritional industry and others. * EKO Technologies Consortium * EKOTAR Sp. z o.o. Consortium * Grupa Azoty Koltar Sp. z o.o. (abbridged name: ''Grupa Azoty KOLTAR'' ) - performing certified transport of goods, railway rolling stock rental, overhaul and maintenance of railway tracks. * Grupa Azoty "Folie" Sp. z o.o. * Grupa Azoty Azoty "Compounding" Sp. z o.o. * Navitrans Sp. z o.o.

Products

Grupa Azoty is currently the second largest producer of mineral fertilizers and third of compound fertilisers in the European Union. It is also present in the sector of construction plastics, OXO alcohols and plasticizers. It offers a rich range of products made in particular plants in Tarnów, Puławy, Kędzierzyn-Koźle and Police, Gdańsk, Grzybów, Chorzów and in Guben (Germany).

Main fields of operation

* Agricultural fertilisers Mineral fertilisers are one of the main products of Grupa Azoty. It specialises in the production of nitric and compound fertilizers. Additionally, in the sector the company produces

ammonia Ammonia is an inorganic compound of nitrogen and hydrogen with the formula . A stable binary hydride, and the simplest pnictogen hydride, ammonia is a colourless gas with a distinct pungent smell. Biologically, it is a common nitrogenous wa ...

and other

nitrogen Nitrogen is the chemical element with the symbol N and atomic number 7. Nitrogen is a nonmetal and the lightest member of group 15 of the periodic table, often called the pnictogens. It is a common element in the universe, estimated at se ...

-based half-products. Grupa Azoty mines phosphorite, the main material in compound fertilizer production from its part-owned mine in

. Grupa Azoty leads the Polish market and is the second largest producer of mineral fertilizers in the European Union. * Plastics Engineering

s ( polyamide 6 (PA6) and modified plastics) are produced as well as auxiliary products such as

caprolactam Caprolactam (CPL) is an organic compound with the formula (CH2)5C(O)NH. This colourless solid is a lactam (a cyclic amide) of caproic acid. Global demand for this compound is approximately five million tons per year, and the vast majority is use ...

and other

. Currently, the largest factory of Polyamide 6 in

is under construction, which will allow Grupa Azoty to increase its production possibilities and become the leading producer of this material in Europe. * Chemicals Another activity of the Group is chemical production, focusing on: OXO products,

urea Urea, also known as carbamide, is an organic compound with chemical formula . This amide has two amino groups (–) joined by a carbonyl functional group (–C(=O)–). It is thus the simplest amide of carbamic acid. Urea serves an important ...

and sulphur. Grupa Azoty is the third largest producer of melamine in the world and second in the European Union. Whereas, in OXO products, Grupa Azoty is the only one in Poland and seventh in Europe in terms of OXO alcohol production as well as the largest national and fifth largest European company producing plasticisers. * Power engineering Electric power and heat produced in the plant are sold locally, in the vicinity of the company. The Group has its own distribution networks for power utilities and energy. Currently, construction plans of new heat-power blocks are made in the premises of plants in Kędzierzyn and

Research and development

* Coal gasification Grupa Azoty has an agreement with

AGH University of Science and Technology AGH University of Science and Technology in Kraków, (abbreviated as ''AGH UST'') is a public university in Kraków, Poland. Founded in 1913, its inauguration took place in 1919. The university focuses on innovative technologies, its research p ...

in the field of developing pure

coal Coal is a combustible black or brownish-black sedimentary rock, formed as rock strata called coal seams. Coal is mostly carbon with variable amounts of other elements, chiefly hydrogen, sulfur, oxygen, and nitrogen. Coal is formed when ...

technologies and their implementation on an industrial scale in Poland. The joint projects concern research into coal preparation for gasification, its application in

chemical process In a scientific sense, a chemical process is a method or means of somehow changing one or more chemicals or chemical compounds. Such a chemical process can occur by itself or be caused by an outside force, and involves a chemical reaction of some ...

es, development of technologies for using slag and dust produced during coal gasification processing, energy and emissive conditions that are in line with requirements of the

European Union The European Union (EU) is a supranational political and economic union of member states that are located primarily in Europe. The union has a total area of and an estimated total population of about 447million. The EU has often been de ...

. In addition to AGH, Grupa Azoty cooperates with Tauron and KGHM in the project, with which

letters of intent A letter of intent (LOI or LoI, or Letter of Intent) is a document outlining the understanding between two or more parties which they intend to formalize in a contract, legally binding agreement. The concept is similar to a Heads of agreement ( ...

were signed. * Stearin production In 2013 Zakłady Azotowe Chorzów (part of Grupa Azoty PULAWY), the first installation for stearin production in Poland yields 13.2 tons per year. * Investment in Senegal In 2013, Grupa Azoty POLICE purchased 55% of shares in the African Investment Group, which gave the Polish concern access to the raw material deposits in Senegal:

ilmenite Ilmenite is a titanium-iron oxide mineral with the idealized formula . It is a weakly magnetic black or steel-gray solid. Ilmenite is the most important ore of titanium and the main source of titanium dioxide, which is used in paints, printing ...

sand deposits Sud Saint Louis and

calcium phosphate The term calcium phosphate refers to a family of materials and minerals containing calcium ions (Ca2+) together with inorganic phosphate anions. Some so-called calcium phosphates contain oxide and hydroxide as well. Calcium phosphates are whi ...

deposits in the Lam Lam and Kebemer region. In addition to the purchase of the mines, Grupa Azoty plans to start production of

phosphoric acid Phosphoric acid (orthophosphoric acid, monophosphoric acid or phosphoric(V) acid) is a colorless, odorless phosphorus-containing solid, and inorganic compound with the chemical formula . It is commonly encountered as an 85% aqueous solution, w ...

in Senegal. * Cooperation with Lotos Grupa Azoty in cooperation with Lotos prepared a feasibility study for a new

petrochemical Petrochemicals (sometimes abbreviated as petchems) are the chemical products obtained from petroleum by refining. Some chemical compounds made from petroleum are also obtained from other fossil fuels, such as coal or natural gas, or renewable so ...

complex in Gdańsk (project performance was delayed in time due to other priorities of both companies). * Cooperation with Synthos Grupa Azoty began a collaboration with Synthos, through its Zakłady Azotowe in Chorzów. Grupa Azoty then collaborated with the Pfleiderer Grajewo company, a producer of materials based on

wood Wood is a porous and fibrous structural tissue found in the stems and roots of trees and other woody plants. It is an organic materiala natural composite of cellulose fibers that are strong in tension and embedded in a matrix of lignin ...

. * Cooperation with KGHM KGHM started research in the region of Puck Bay, with the aim of prospecting for potassium-magnesium salt and rock-salt deposits. KGHM plans to exploit potassium-magnesium deposits jointly with Grupa Azoty. It is estimated that the by means of deposit exploitation in the Puck region, it is possible to obtain 600 million tons of material with

potassium oxide Potassium oxide ( K O) is an ionic compound of potassium and oxygen. It is a base. This pale yellow solid is the simplest oxide of potassium. It is a highly reactive compound that is rarely encountered. Some industrial materials, such as fertili ...

content from 7 to 13.7 percent. * Cooperation with PZU S.A. PZU S.A. with Grupa Azoty will support small, innovative companies both in the scope of scientific research and its subsequent commercialisation. *Cooperation with PKP Cargo S.A. The contract for transport of chemicals, containers and other goods to companies in Grupa Azoty was concluded on 16 October 2014. * Collaboration with scientific centres Grupa Azoty (and its subsidiaries organises student internships, meetings with graduates and conducts research with scientific institutes from all over the country. * Membership of Chatham House, Royal Institute of International Affairs In September 2015 Grupa Azoty was admitted to the London-based

Chatham House Chatham House, also known as the Royal Institute of International Affairs, is an independent policy institute headquartered in London. Its stated mission is to provide commentary on world events and offer solutions to global challenges. It is ...

. It is one of over 300 member companies, representing various sectors: financial, industrial, health, energetic, telecommunication and commercial as well as the most important embassies, international organisations and universities. Grupa Azoty is the first Institute's partner from Central Europe. * The commencement of a Poland-wide programme of

soil test Soil test may refer to one or more of a wide variety of soil analysis conducted for one of several possible reasons. Possibly the most widely conducted soil tests are those done to estimate the plant-available concentrations of plant nutrients, i ...

ing With its mission statement, "Earth is Knowledge" - in cooperation with

PKO Bank Polski Powszechna Kasa Oszczędności Bank Polski Spółka Akcyjna (also known as ''PKO Bank Polski S.A.'', ''PKO BP S.A.'') is Poland's largest bank founded in 1919. It provides services to individual and business clients. The core business activity of ...

, Grupa Azoty commenced nationwide 3-year programme of testing soil Ph and soil nutritional elements. In the scope of the programme, the companies aim to reach nearly 2 thousand agricultural households in the entire country and test 28 thousand samples in cooperation with Regional Chemical-Agricultural Stations. * Establishing a Centre for Civil Defence Education On 12 March 2015 the activity of the Centre for Civil Defence Education of Grupa Azoty (CERGA) was commenced. It is a modern unit responsible for periodic and specialist training of firefighters and chemical

paramedic A paramedic is a registered healthcare professional who works autonomously across a range of health and care settings and may specialise in clinical practice, as well as in education, leadership, and research. Not all ambulance personnel are p ...

s working in Grupa Azoty. Its activity includes all companies affiliated in Grupa Azoty and other entities interested in taking advantage of the training offer. The aim of establishing CERGA was to support the development of common norms in fire safety and emergency services with the exchange of experience between paramedic units.

Listing

*Respect Index Grupa Azoty have been listed in the RESPECT Index on the

Warsaw Stock Exchange The Warsaw Stock Exchange (WSE), pl, Giełda Papierów Wartościowych w Warszawie, is a stock exchange in Warsaw, Poland. It has a market capitalization of PLN 1.05 trillion (EUR 232 billion; as of December 23, 2020). The WSE is a member of the ...

since 19 November 2009. This project aims to highlight companies that are managed responsibly and sustainably by their reporting quality, level of investor engagement and information dissemination. The choice of companies for the index is conducted according to a three-stage process. GPW analyses the financial matters, strategy and principles of organisation management, environmental factors, employment policy and relations with employees as well as the influence on the market.

Investments

* In 2014–2020, the concern plans further investments in the following sectors:

production, mechanical granulation, solution of urea ammonium nitrate,

production,

polyamide A polyamide is a polymer with repeating units linked by amide bonds. Polyamides occur both naturally and artificially. Examples of naturally occurring polyamides are proteins, such as wool and silk. Artificially made polyamides can be made through ...

and plasticisers. This will involve 68 investment projects for the amount of PLN 7 billion. * Investments in plants in Tarnów: new factory of polyamide 6 plastic with productive capacity of 80 thousand tons per year (as a result, S.A. will be the second producer of this material in Europe); new installation for artificial fertilizer granulation worth PLN 140 million; modernisation of c-non of

phenol Phenol (also called carbolic acid) is an aromatic organic compound with the molecular formula . It is a white crystalline solid that is volatile. The molecule consists of a phenyl group () bonded to a hydroxy group (). Mildly acidic, it ...

installation, development of polyamide processing installation and introducing an iron-chromium catalyser of new generation onto the market. * Investments in plants of ''Grupa Azoty POLICE'': construction of new installation for

propylene Propylene, also known as propene, is an unsaturated organic compound with the chemical formula CH3CH=CH2. It has one double bond, and is the second simplest member of the alkene class of hydrocarbons. It is a colorless gas with a faint petro ...

production with PDH method; the estimated cost is PLN 1.68 billion. It will be the most modern and largest installation of this type in Europe.; building phosphorite mines in Senegal; expanding the port in Police with a terminal for fluid chemicals, the target of which will be service of LNG supplies. * Investments in plants of ''Grupa Azoty PUŁAWY'': construction of energetic block with capacity of 440 MW, new installation for fertilizer granulation as well as modernisation of old and building a new line of nitric acid. * Investments in plants of ''Grupa Azoty KĘDZIERZYN''. construction of new power-heat plant, producing 25 MW of electric power and 140 Mg/h of megawatts of thermal energy: installation for urea-ammonium nitrate

UAN UAN is a solution of urea and ammonium nitrate in water used as a fertilizer. Uan or UAN may also refer to: * Adapa, an alternate name for the first of the Mesopotamian seven sages * Autonomous University of Nayarit ((in Spanish: ), a Mexican pu ...

fertilisers.

Corporate social responsibility

Grupa Azoty is highly involved in the life of local community in Tarnów, supporting, e.g. the cultural enterprises: musical festival Grupa Azoty Jazz Contest Tarnów, Grupa Azoty Grand Festival or New Year Charity Concert of Grupa Azoty in Lusławice, film festival "Tarnów Film Award", Comedy Festival "Talia" as well as ArtFest Art Festival. Grupa Azoty is involved in organising Investment Forum in Tarnów which is a part of Economic Forum in Krynica. In addition, it cooperates with Tarnów authorities in the scope of town development, co-finances road and ring road construction and incinerating plant.

Ecology

Aside from meeting the criteria for inclusion on the ''Respect Index'' on Warsaw's stock exchange, the company's role in analysing and counteracting any hazardous or negative effects of their activities on the natural environment in Europe and Africa are not recorded.

Sport sponsorship

Grupa Azoty supports several sports disciplines: * Men's handball club Azoty Puławy * Men's handball club Unia Tarnów * Men's volleyball club

ZAKSA Kędzierzyn-Koźle ZAKSA Kędzierzyn-Koźle, officially known for sponsorship reasons as Grupa Azoty ZAKSA Kędzierzyn-Koźle, is a professional men's volleyball club based in Kędzierzyn-Koźle in southern Poland, founded in 1994. They compete in the Polish PlusL ...

* Women's volleyball club Chemik Police So far, the business has supported such sports people as: *

Robert Kubica Robert Józef Kubica (; born 7 December 1984) is a Polish racing and rally driver. He was the first and, , the only Polish racing driver to compete in Formula One. Between 2006 and 2009 he drove for the BMW Sauber F1 team, promoted from test d ...

(WRC) * Piotr Zyła (ski-jumping) * Justyna Wałaś (boxing) * Klaudia Buczek * Marcin Dzieński, * Edyta Ropek, * Michał Derus, * Renata Knapik (climbing). Grupa Azoty is also the main partner of Polish Skiing Association. Grupa Azoty initiated a programme ''Grupa Azoty Start'', to support sport development for children and youth (established cooperation with kindergarten school UKS Jaskółki, Interschool Sports Club Pałac Młodzieży Tarnów, MUKS 1811 Tarnów) and the development of Polish cross-country skiing.

References

{{DEFAULTSORT:Grupa Azoty S.A. Chemical companies of Poland Holding companies of Poland Manufacturing companies of Poland Polish brands Companies based in Tarnów Holding companies established in 1927 Chemical companies established in 1927 Manufacturing companies established in 1927 1927 establishments in Poland Companies listed on the Warsaw Stock Exchange