Press Release
IVL Completes Acquisition of Canada PTA Plant Enhances leadership in North American business
Bangkok, Thailand – June 2, 2015 – Indorama Ventures Public Company Limited (IVL), a world-leading producer of intermediate petrochemicals, has completed the deal that it had announced on 23 March 2015 to acquire 100% shareholding in the PTA business of CEPSA Chimie Montréal s.e.c in Montreal, Canada from Cepsa Química SA, wholly-owned affiliate of Cepsa, and IQ CHIMIE INC., a subsidiary of Investissement Québec. The 600,000 tonne PTA plant will provide Indorama Ventures with feedstock security to better serve its customers and an enhanced leadership position in North America.
“I heartily welcome our new colleagues at the Montreal PTA facility who complement our more than 14,000 employees worldwide. With the integration of the Canadian PTA facility, we now have all our global businesses present in North America and I believe this unique position is a win-win since we can now serve our customers more reliably and simultaneously to create accretive returns for our shareholders. Vertical integration into feedstocks has always been an important part of our global business strategy and we are now very excited to have finally completed the loop in our North American value chain,” said Mr. Aloke Lohia, Group CEO of Indorama Ventures Public Company Limited. “The PTA business in North America is robust and the timing of this acquisition comes with firmer margins and potentially firmer operating rates pending the results of the Anti-Dumping investigations on imported PET into USA.
“North America is a large and attractive market where our business has expanded considerably over the years since our first entry in 2003. With multiple production assets in USA, Mexico and Canada, the company has become a leading player across PET, Fibers and High Value added products serving the safety and hygiene segments in the North American market.” Mr. Lohia concluded.
About CEPSA
Cepsa is an energy group fully owned by the International Petroleum Investment Company (IPIC). It employs more than 10,000 people and operates at every stage of the hydrocarbon value chain. It is engaged in petroleum and natural gas prospecting and production activities, refining, transport and sale of crude oil and natural gas derivatives, biofuels, co-generation and electricity sales. Cepsa has developed a world-class chemicals division that is tightly integrated with its oil refining segment, where feedstock is manufactured and sold for the production of components with high value-added, chiefly used in making new-generation plastics and biodegradable detergents. It has a prominent position in Spain and, through the continuing international expansion of its business, it also operates in 15 countries, marketing its products all over the world.
“I heartily welcome our new colleagues at the Montreal PTA facility who complement our more than 14,000 employees worldwide. With the integration of the Canadian PTA facility, we now have all our global businesses present in North America and I believe this unique position is a win-win since we can now serve our customers more reliably and simultaneously to create accretive returns for our shareholders. Vertical integration into feedstocks has always been an important part of our global business strategy and we are now very excited to have finally completed the loop in our North American value chain,” said Mr. Aloke Lohia, Group CEO of Indorama Ventures Public Company Limited. “The PTA business in North America is robust and the timing of this acquisition comes with firmer margins and potentially firmer operating rates pending the results of the Anti-Dumping investigations on imported PET into USA.
“North America is a large and attractive market where our business has expanded considerably over the years since our first entry in 2003. With multiple production assets in USA, Mexico and Canada, the company has become a leading player across PET, Fibers and High Value added products serving the safety and hygiene segments in the North American market.” Mr. Lohia concluded.
About CEPSA
Cepsa is an energy group fully owned by the International Petroleum Investment Company (IPIC). It employs more than 10,000 people and operates at every stage of the hydrocarbon value chain. It is engaged in petroleum and natural gas prospecting and production activities, refining, transport and sale of crude oil and natural gas derivatives, biofuels, co-generation and electricity sales. Cepsa has developed a world-class chemicals division that is tightly integrated with its oil refining segment, where feedstock is manufactured and sold for the production of components with high value-added, chiefly used in making new-generation plastics and biodegradable detergents. It has a prominent position in Spain and, through the continuing international expansion of its business, it also operates in 15 countries, marketing its products all over the world.