Thai polyester and yarn manufacturer Indorama Ventures has agreed to acquire a 94.91% stake in polyethylene terephthalate (PET) polymers maker Bangkok Polyester from Bangkok Cable Company for an undisclosed amount.
Completed in the first quarter of 2015, the acquisition will ramp up Indorama's annual capacity in Turkey to 382,000t.
The company claims that the value of the acquisition, when calculated in accordance with the regulations of the Capital Market Supervisory Board and the Stock Exchange of Thailand, is less than 15% and the total size of transactions in the past six months is also less than 15%.
Therefore, this transaction is not subject to disclose according to the regulation concerning the acquisition and disposal of assets of listed companies as prescribed by the regulation of the Stock Exchange of Thailand.
With an annual capacity of 105,000t, Bangkok Polyester produces PET polymers in Rayong, Thailand.
Established in 1994, Bangkok Polyester specialises in producing PET resins for packaging of the food, drink, cosmetics and medicine sectors.
Indorama is said to be one of the largest PET producer across the globe and also the largest polyester fibre producer in Thailand.
As reported in ICIS, Indorama's PET segment accounts for half of the company's overall production and had a capacity of 3.1 million tonnes a year, at the end of 2014.
Indorama had also acquired PET resin producer Artenius Turkpet PET plant, which had a annual capacity of 130,000t.