ICIG has obtained European Commission approval for its acquisition of certain Chlorovinyls Assets being divested by INEOS
International Chemical Investors Group (ICIG) recently announced an agreement with INEOS and Solvay to acquire certain chlorovinyls assets being divested by INOVYN / INEOS. This agreement, which has been reviewed in the context of the merger control process of both this transaction and the INOVYN JV, has now received approval of the European Commission. Closing of the acquisition of the remedy business by ICIG is anticipated to be August 1st, 2015.
The newly acquired businesses will form a new “Chlorovinyls” platform within ICIG named VYNOVA Group with total sales in excess of Euro 850 million, complementing ICIG’s Fine Chemicals and Custom Manufacturing platform WeylChem Group (Euro 670 million in sales), the Pharmaceuticals platform CordenPharma Group (Euro 330 million in sales) and ICIG Enterprises businesses (CarboTech, ENKA and Rütgers Organics; Euro 110 million in sales).
With the addition of VYNOVA, ICIG becomes a leading European player both in the suspension polyvinyl chloride (S-PVC) and the potassium hydroxide (KOH) business, resulting in ICIG aggregated sales in excess of Euro 2 billion and approximately 6,000 employees in Europe and the US.
The assets being acquired consist of:
- the chlorine plants, the EDC/ VCM plants and the KOH plant at Tessenderlo, Belgium,
- the PVC plant at Mazingarbe, France,
- the PVC plant at Beek, the Netherlands,
- the PVC and VCM plants at Wilhelmshaven, Germany, and
- the EDC plant at Runcorn, UK.
In addition, the membrane chlorine plant at Runcorn is to be placed in a 50/ 50 Joint Venture between INOVYN and VYNOVA. The acquisition will also include a portion of the KOH business at Tessenderlo, with VYNOVA supplying INOVYN under a toll manufacturing arrangement for the proportion of the KOH business that INOVYN will retain.
The newly formed VYNOVA International will be the sales and marketing organization of VYNOVA Group. Key products sold, besides various grades of S-PVC include chlorine (Cl2), vinyl chloride monomer (VCM), ethylene dichloride (EDC), sodium and potassium hydroxide (NaOH, KOH), hydrogen (H2), sodium hypochloride (NaCIO) and hydrochloric acid (HCl). VYNOVA International will also liaise with ICIG’s company PPC to align the marketing and sales strategy for KOH from its newly converted membrane plant in Thann (France), scheduled for start-up during second half of 2015.
With the acquisition and formation of VYNOVA Group, ICIG significantly expands its European chemicals manufacturing footprint and product portfolio, also resulting in an increased market share and realizing significant synergies, unified branding and cooperation. It is ICIG’s intent, as achieved within its other platforms, to further grow the VYNOVA Group through complementary acquisitions, further expanding its manufacturing capacities and product offerings to customers while increasing scale, realizing synergies and thus further improving cost positions and competitiveness.
About International Chemical Investors Group
International Chemical Investors Group (ICIG) is a privately owned industrial holding company focusing on chemicals and pharmaceutical businesses. Since inception in 2004, ICIG has acquired more than 24 businesses, all of which have origins in major global chemical or pharmaceutical corporations, and are independently managed. Including VYNOVA Group, ICIG companies will employ approximately 6,000 employees operating 28 manufacturing facilities in Europe and the United States with total sales in excess of Euro 2 billion. For more information about International Chemical Investors Group: www.ic-investors.com.
Mrs. Sibel Cumcu
Phone: +49 69 506 999 0