Indorama Ventures Public Company Limited (IVL; Bangkok, Thailand; www.indoramaventures.com) announced that it has entered into an agreement with Invista (Wichita, Kan.; www.invista.com) to acquire INVISTA Resins & Fibers GmbH, which owns a high value-added polyethylene terephthalate (PET) manufacturing facility located in Gersthofen, Germany. The Gersthofen site has a combined capacity of 282,000 metric tons per year (m.t./yr), and employs approximately 140 employees.
The transaction is expected to be completed in the 1st quarter 2019, subject to regulatory approvals.
Invista Gersthofen is a strong strategic fit with IVL and is aligned with IVL’s strategy to grow and support customer needs with differentiated solutions in both packaging and in industrial fibers. IVL will own the intellectual property rights of POLYSHIELD PET and OXYCLEAR Barrier PET, Invista’s barrier technology, in all markets globally. POLYSHIELD PET and OXYCLEAR Barrier PET brands are well-anchored in oxygen barrier packaging i.e. Ketchup. Together with IVL’s HVA polymer business in America’s, Gersthofen will open new opportunities in several new markets and attractive segments.
Commenting on the acquisition, Mr. Aloke Lohia, Group CEO of Indorama Ventures said, “This is very exciting development for IVL. With our strong foundation in the PET market and IVL’s geographic reach, we see vast opportunities to grow the POLYSHIELD PET and OXYCLEAR Barrier PET brands to their full potential, and reach existing and new customers around the world.
We are already capitalizing on the opportunities in the U.S. market, one of the largest barrier resins markets in the world – through our existing OXYCLEAR Barrier PET license in America’s. This strategic acquisition will evolve IVL to the next level of success by taking advantage of opportunities in global markets. With this acquisition, we reinforce our commitment to deliver the highest value to our customers and create sustainable long-term value for our shareholders.”