Ashland Global

Ashland, Inc.
Company type	Public
Industry	Chemicals
Founded	February 2, 1924; 102 years ago in Ashland, Kentucky, United States
Founder	Paul G. Blazer
Headquarters	Wilmington, United States
Area served	Worldwide
Key people	Guillermo Novo (Chairman and CEO)
Products	Chemical intermediates and solvents, composites, industrial specialties, personal and home care products, pharmaceuticals, food and beverage products, agriculture products
Number of employees	2000 (distribution division in 2010)
Website	www.ashland.com

Ashland, Inc., a U.S.-based chemical corporation with its headquarters in Wilmington, Delaware, was originally established in 1924 in Ashland, Kentucky. The company manages five fully owned divisions: Chemical Intermediates and Solvents, Composites, Industrial Specialties, Personal and Home Care, Pharmaceuticals, Food and Beverage, and Agriculture. Up until 2017, Ashland served as the principal producer of Valvoline.

Origins and Initial Development

The company began in 1924 as the Ashland Refining Company located in Catlettsburg, Kentucky, founded by businessman Paul G. Blazer. Acting on behalf of J. Fred Miles from Swiss Oil Company, Blazer acquired a 1,000 barrel-per-day refinery near Catlettsburg for $212,500 to operate it in northeastern Kentucky. Its position near the Ohio River offered key logistical benefits for transportation.

Officially incorporated on February 2, 1924, with an initial capital of $250,000, Ashland Refining assumed control of the Catlettsburg refinery operations. Early achievements allowed for wage increases and shorter working hours for its workforce of 25 employees. Following modernization upgrades, the refinery’s annual output reached 500,000 barrels with sales totaling $1.3 million.

Ashland grew swiftly by acquiring companies such as Union Gas and Oil Company (1925), Tri-State Refining Company (1930), and Cumberland Pipeline Company (1931). By 1933, the firm controlled over 1,000 oil wells, 800 miles of pipelines, distribution facilities across twelve cities, service stations, and river transport terminals.

In 1936, under Blazer’s tenure as CEO (1936–1957), ownership transitioned from Swiss Oil to shareholders of Ashland Oil and Refining Company. Although Blazer never held majority ownership, he was granted authority to manage the company autonomously.

Blazer prioritized employee benefits early on by introducing fully paid sick leave and an employee profit-sharing program in 1947—among the earliest initiatives of its kind in the area. His leadership blended strategic corporate expansion with community involvement; he invited educator Jesse Stuart to participate in company meetings and also served as a local pastor.

Expansion After World War II

Following World War II, Ashland collaborated with Sperry Corporation to implement radar technology on commercial river vessels and worked alongside shipyards to develop the integrated tow system. The "jumbo" tank barge (measuring 195 ft. by 35 ft.) became a benchmark within the industry, facilitating Ashland’s growth into a Forbes 500 company by utilizing barges for transporting crude oil and distributing refined products to independent dealers. Under Blazer’s guidance, Ashland operated the largest inland towing fleet nationwide; by 1953, the Port of Huntington-Tristate had overtaken Pittsburgh as the busiest port along the Ohio River and remains the most active inland port in the United States.

The company further expanded through acquisitions including Allied Oil Company (1948), Cleveland and Lakeland Tankers (1948), Aetna Oil Company (1949), Freedom-Valvoline Company (1950), Frontier Oil of Buffalo (1950), and National Refining Company (1950).

By 1953, Ashland controlled 3,518 miles of crude oil pipelines alongside 252 miles of product lines; it operated six refineries processing 124,000 barrels daily, nine towboats, and over one hundred barges. Blazer resigned as CEO in 1957 but continued his involvement as chairman of both the Finance and Executive Committees.

The acquisition of Louisville Refining Company occurred in 1959 followed by United Carbon in 1963. By 1966, sales had climbed to $699 million.

Diversification efforts continued with the purchase of Warren Brothers in 1966—later developing into Ashland Paving and Construction. A significant strategic shift into chemicals happened in 1967 through acquiring ADM Chemical Group, marking chemical distribution as a primary business division. In 1969, Ashland restructured as Ashland Petroleum with Robert T. McCowan appointed president and entered coal mining via a joint venture known as Arch Mineral.

1980s-1990s

Throughout the 1980s and into the early 1990s, Ashland grew by acquiring several companies, notably The Permian Corporation, which combined with Scurlock Oil Company in 1991 to establish Scurlock Permian Corporation. In 1992, Ashland purchased the majority of Unocal's chemical distribution operations, positioning itself as the foremost chemical distributor in North America and launching the Industrial Chemicals & Solvents (IC&S) division. Reflecting a strategic realignment, the company rebranded from "Ashland Oil, Incorporated" to "Ashland, Inc." in 1995.

By 1998, Ashland's petroleum segment merged with Marathon Oil to form Marathon Ashland Petroleum, LLC (MAP). In 1999, ranked #102 on the Fortune 200, Ashland divested its Scurlock Permian subsidiary to Plains All American Pipeline and shifted its corporate headquarters from Ashland to Covington, Kentucky, while still maintaining an office close to its original location. A major strategic change occurred in 2005 when Ashland sold its stake in the petroleum joint venture back to Marathon Oil, effectively withdrawing from refining and fuel marketing activities. The original Catlettsburg Refinery continues operations under Marathon’s management. The following year, in 2006, Ashland sold its paving and construction division, APAC, to Oldcastle Materials, a subsidiary of Oldcastle, Inc., headquartered in Dublin, Ireland.

Recent years

In 2008, Ashland broadened its product range by acquiring the adhesives and emulsions units from Air Products and Chemicals, Inc. Later that year, it finalized a $3.3 billion acquisition of Hercules, Inc., substantially expanding its specialty chemicals portfolio.

In 2010, Ashland combined its foundry chemicals division with Süd-Chemie to create ASK Chemicals L.P., based in Dublin, Ohio. That same year saw the sale of Ashland Distribution to TPG Capital for roughly $930 million. This division, which generated $3.4 billion in revenue and employed about 2,000 people across North America and Europe, had entered the Chinese plastics market in 2009. The transaction closed in 2011 at $979 million; this business was rebranded as Nexeo Solutions and later acquired by Univar in 2019.

Ashland strengthened its specialty chemicals and performance products offerings for consumer and industrial markets by acquiring International Specialty Products, Inc. (ISP) for $3.2 billion in 2011.

In 2014, Ashland divested Ashland Water Technologies to a private equity firm managed by Clayton, Dubilier & Rice.

The company completed the spin-off of its Valvoline segment as Valvoline, Inc. (NYSE:VVV) in May 2017, marking its complete transformation into a global specialty chemicals enterprise.

In January 2019, Ashland reached a settlement with activist investor Cruiser Capital Advisors to prevent a proxy contest; this agreement included a consulting position for one of Cruiser’s nominees and increased input on future board selections.

October 2019 brought leadership change as Guillermo Novo replaced William A. Wulfsohn as chairman and CEO, strengthening strategic direction aimed at business expansion and enhancing market presence.

Company backgrounds

Scott, Otto J. The Exception: The History of Ashland Oil & Refining Company. McGraw Hill, 1968.

External links

Official Ashland website