News Post
Indorama gets FTC approval for Texas PET plant joint venture
Indorama Ventures announced that the US Federal Trade Commission has approved a joint venture's acquisition of an unfinished polyethylene terephthalate and purified terephthalic acid complex in Texas. "The FTC's regulatory clearance represents an important milestone and a giant step toward serving the growing market needs of recyclable PET for many years to come," Indorama Ventures Group CEO Aloke Lohia said in a statement on Monday. "With the approvals in place, we look forward to assist and fast track the construction."
That approval allows Thailand-based Indorama Ventures, the world's largest PET producer, Mexico's Alpek and Taiwan's Far Eastern New Century to move ahead to finish construction, commissioning and startup of the Corpus Christi complex where work has been largely idle for more than a year. The three companies struck a deal in March to buy the complex for $1.125 billion in cash and capital contributions from bankrupt M&G Chemicals, the Luxembourg, Belgium-based subsidiary of Italy's Mossi Ghisolfi that oversaw US subsidiaries.
Indorama and its partners have been waiting for the FTC's approval to resume work on the 1.1 million mt/year PET plant, which will be the world's largest, and its associated 1.3 million mt/year PTA plant. Dilip Kumar Agarwal, CEO of Indorama's feedstock and PET business, said in August that even if FTC approval came before the end of 2018, the companies did not expect the PET plant to start up before late 2019 or early 2020, and the PTA plant startup would come a year after that. Under the deal, the three companies in the joint venture will each receive one-third of the capacity of PET and PTA produced, and each will procure raw materials and sell output independent of each other.
Source: Indorama
For subscriptions or a demo:
Sam Hassaniyeh
Subscription Executive
Phone: +44 203 4092242
For questions or to give feedback:
Thad Pittman
Senior Researcher
Phone: +1 (713) 525-4605
Download our brochure today!
Project News