Indorama pulls out of deal to acquire Turkish firm SASA Polyester

MOSCOW (MRC) -- Indorama Ventures has decided to pull out of an agreement to acquire SASA Polyester Sanayi AS (SASA) in Turkey, said Business Standard.

On April 10, 2014, Indorama Netherland BV had entered into a sale purchase agreement to acquire 51% stake in SASA from Haci Omer Sabanci Holding AS.

“With reference to our disclosure, dated April 10, 2014, the company would like to inform you that both sides have mutually agreed to withdraw from implementing the acquisition of SASA,” said Indorama Ventures in a letter addressed to the Stock Exchange of Thailand.

Indorama Ventures added that it has decided to focus on its PET footprint in Turkey.

SASA incorporates integrated feedstock and polymer facilities producing DMT, staple fibres, filament yarns, PET, PBT polymers and specialty chemicals with a total plant capacity of 600,000 tons per annum. SASA supplies both Turkish and European markets with high quality, high value added products.

As MRC wrote before, Indorama Netherlands B.V., a 100%-owned subsidiary of Indorama Ventures Public Company Limited (IVL), has signed a share purchase agreement to acquire 100% equity stake of Polyplex Turkey from Polyplex Europa Polyester Film San. ve Tic. A.S, Turkey, a 100% owned subsidiary of Polyplex (Thailand) Pcl., and Polyplex (Asia) Pte Limited, Singapore.

Indorama Ventures is a leading producer in the polyester value chain in Thailand with strong global network and manufacturing across Asia, Europe and North America. Its products serve major players in diversified end use markets, including food, beverages, personal and home care, health care, automotives, textile, and industrial. The company’s main products are PTA, PET and polyester fibre, which are distributed across the world.

Nan Ya Plastics to shut MEG plant in Taiwan for maintenance

MOSCOW (MRC) -- Nan Ya Plastics is in plans to shut its No.1 monoethylene glycol (MEG) plant for maintenance turnaround, according to Apic-online.

A Polymerupdate source in Taiwan informed that the plant is planned to be shut in June 2015. It is likely to remain off-stream for around one month.

Located at Mailiao in Taiwan, the plant has a production capacity of 360,000 mt/year.

As MRC wrote before, Nan Ya Plastics restarted its No 3 MEG plant in Taiwan on November 3, 2014. It was under a month-long maintenance turnaround. Located in Mailiao, Taiwan, the plant has a production capacity of 360,000 mt/year.

Earlier, on 7 September 2014, Nan Ya Plastics shut down its No.4 MEG plant in Taiwan for a one-month maintenance turnaround. Located at Mailiao, Taiwan, the plant has a production capacity of 720,000 mt/year.

MOL set to buy remaining TVK shares

MOSCOW (MRC) -- Hungarian oil and gas company MOL made a voluntary public tender offer on petrochemical works TVK yesterday, the company announced in a stock exchange filing yesterday.

It bid HUF 4,984 for each of the outstanding ordinary shares of TVK based in Tiszaujvaros in eastern Hungary.

TVK, suspended trading on Tuesday pending the announcement, and closed at HUF 5,086 on Monday on the Budapest Stock Exchange (BET). It ended last year at HUF 4,745. MOL already owns 94.86% of TVK's 23.04 million shares. The National Bank of Hungary in its capacity as financial supervisory authority has yet to approve the tender.

TVK, which is fully integrated into MOL's downstream operations, expects to launch a 130,000 tonne/year BD unit before the summer at its production site in Tiszaujvaros, northern Hungary.

Drawing on the plant’s output as feedstock, a 60,000 tonne/year S-SBR plant, being built at Tiszaujvaros by a joint venture between MOL and Japan-based JSR Corporation, is to be launched in 2017.

According to MRC, TVK is a significant player in market of polyolefins in Ukraine. Tiszai Vegyi Kombinat (TVK) is a Hungarian manufacturer of olefins and polyolefins such as polyethylene and polypropylene. Feedstock is supplied by MOL of which TVK is a subsidiary and which also processes a major portion of resulting by-products from the olefins plant.

MOL previously said Hungarian authorities had dismissed the allegations against MOL, which now holds a 49.1% share of INA. Hungary's government holds a 24.6% stake in MOL.

DSM presents new solutions for a wide range of applications

MOSCOW (MRC) -- Royal DSM, the global Life Sciences and Materials Sciences company, has recently made a breakthrough in polyamide blown film processing with Akulon XS, reported company in its press release.

Thanks to its improved crystallization properties, Akulon XS has an extended processing window, providing new opportunities in designing co-extruded multi-layer as well as monolayer film structures.

DSM has announced plans to build a new plant for high viscosity Akulon polyamide 6 grades for film and other extrusion applications in North America.

DSM is developing thermoplastic composite gas tanks for Compressed Natural Gas (CNG) with a partner, a specialist in advanced thermoplastic composite vessels for a wide range of applications. Together with hydrogen, natural gas is claiming its place in the field of cost-effective and low carbon footprint fuels for use in automobiles.

Besides, the company has recently unveiled the next generation of Diablo high temperature resistant grades in its Stanyl polyamide 46 and Akulon polyamide 6 portfolios. These new Diablo grades are aimed at applications in automotive engine compartments such as air intake manifold, ducts and charge air cooler combinations, where temperatures can reach as high as 260C.

As MRC informed previously, in November 2014, Royal DSM opened its new center for research into and development of high-performance materials on the Brightlands Chemelot Campus in Sittard-Geleen, the Netherlands.

Royal DSM is a global science-based company active in health, nutrition and materials. DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, pharmaceuticals, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials.

January prices for Asian bottle PC decreased by USD250/tonne in Russia

MOSCOW (MRC) - Asian producers of polycarbonate (PC) reduced the January export price for the Russian market by USD250/tonne compared to the December level, according to ICIS-MRC Price Report.

In the late 2014 the price of bottle grade PC was USD2,600/tonne FOB Vostochny, excluding VAT. In January, it dropped to USD2,350/tonne.
The main reason is the tendency of a decrease in PC price in the Asian market because of the feedstock price drop.

Last year price for Bisphenol A decreased by 24% (from USD1,610/tonne to USD1,235/tonne). Price for phenol dropped by 63% (from USD1,420/tonne to USD870/tonne). Price for acetone fell by 86% (from USD1,225/tonne to USD658/tonne). At the same time, the price for the polymer in Asia decreased only to the level that took place a year ago. In Asian ports PC shipped at USD2,500/tonne. However, now there is talks of further price cuts.

Despite this, the domestic price for Asian PC for Russian consumers has been increasing because of the devaluation of the rouble. So, at the beginning of last year the price for Asian PC was at Rb110,000/tonne. In January 2015 price offers for Asian PC were heard in the range of Rb200,000-210,000/tonne, depending on the current exchange rate.

The segment of the market continues to decline. A trader said almost half of his clients suspended operations. The market of finished products was not ready to accept such prices, which are dictated by the feedstock prices. Therefore, some converters have been switching to recycled PC. Consumers increased the service life of bottles.