The transaction encompasses the PANOLIN brand, the ECL product formulations, the intellectual property, the technical know-how and technology, the international customer base and the product portfolio – for hydraulics, gearboxes, universal tractor transmission oils, biodegradable engine oils, turbine oils, chainsaw oils and greases for machine lubrication, including leading OEM-approved products.

ECLs are biodegradable lubricants and can contribute to a more sustainable future, as they offer greater protection for wildlife and ecosystems compared to conventional lubricants when they come into contact with the environment. They enable customers to reduce the risks associated with operating in sensitive environments. The global market for ECLs is expected to grow significantly in the coming years. 

Once the transaction is complete, Shell will manufacture, distribute and market the PANOLIN portfolio of ECL products alongside its established Shell Naturelle brand products. 

All PANOLIN employees currently supporting the ECL business in Switzerland, the UK, the US and Sweden will transfer to Shell. 

The sale of the bio-lubricants business to Shell realises the family’s long-standing vision, as the PANOLIN brand will gain greater visibility and a global reach. Shell’s financial strength, its commitment to sustainability and its global sales and customer network will take the business to the next level. 

The business involving conventional and food-grade lubricants in Switzerland and Liechtenstein, as well as the production facilities in Madetswil/Switzerland, will remain with the Lämmle family and will continue to operate in their current form. This also applies to all current employees who support the above- mentioned activities and who make up more than 85% of the company’s total workforce in Madetswil. 

Tim Lämmle, currently CEO of PANOLIN International and soon to take up the position of General Manager with responsibility for the ECL business at Shell, said: "With its financial strength, global distribution network and customer base, Shell will be an excellent steward of the PANOLIN brand, taking the bio-lubricants business to the next level." 

Subject to regulatory approvals and the fulfilment of the closing conditions, the completion of the transaction is expected by early 2023. PANOLIN was advised on the transaction by REYL Intesa Sanpaolo, Advestra, Umbricht Rechtsanwälte and Expertinum. 

About PANOLIN The PANOLIN Group is an international lubricants company based in Madetswil, Switzerland, and has been one of the pioneers in the field of industrial ECL (Environmentally Considerate Lubricants), rapidly biodegradable lubricants, for over 35 years. The independent Swiss company has been owned and managed by the Lämmle family since 1949. About Shell Lubricants The term "Shell Lubricants" refers to the companies within the Shell Group that operate in the lubricants business. Shell markets in over 100 countries a broad range of lubricants that meet the needs of customers for a wide variety of applications. According to the 19th edition of the report Global Lubricants: Market Analysis and Assessment 2021 by Kline & Company, Shell has been named the world’s leading supplier of finished lubricants for the 15th consecutive time: Shell was ranked number one among global suppliers in all three main categories – consumer, commercial and industrial. In case of doubt, the original English press release is legally binding.

Photo: Symbolic image press release