Global chemical producer Indorama Ventures informed that it has completed all closing Formalities to acquire M&G Polimeros Brazil S.A. in Ipojuca Brazil and has taken charge of the operations effective on May 24th, 2018.
The plant is the largest PET facility in Brazil, with capacity of 550,000 tonnes/ annum and strategically located and benefits from virtual integration with a manufacturer of Purified Terephthalic Acid (PTA), a key feedstock to PET.
This acquisition in Brazil is in line with the company’s strategy to further extend its market position, and expand its global footprint in key markets with high growth potential. This strategic position allows Indorama Ventures to deliver products to key customers in Brazil and elsewhere in a cost-effective and efficient manner. Indorama Ventures is well positioned to service its current global client base and M&G’s existing customers once this acquisition is complete and the plant is fully operational. The Company expects immediate incremental revenues and cost synergies, driven by a substantial volume increase and potential value add through backward integration.
Aloke Lohia, Group CEO of Indorama Ventures, earlier said, “We are pleased to have reached this agreement, and taken significant action to strengthen our capability for profitable growth. Indorama Ventures now has unrivalled scale and global reach, being present in five continents with a uniquely balanced and integrated business model.”