Thailand based IVL closes acquisition of Bangkok Polyester

Visual from company website

Indorama Ventures PCL (IVL), the mid-stream petrochemical manufacturer, announced that it had completed the deal to acquire a 94.91-per-cent stake in Rayong-based polyethylene terephthalate (PET) producer Bangkok Polyester PLC.

IVL has acquired the stake from Bangkok Cable Company for an undisclosed amount.

Upon the completion of the acquisition, IVL’s production capacity of PET will be boosted by 105,000 tonnes per year. The deal will also increase IVL’s market share of PET in Thailand from 43 per cent to 58 per cent.

IVL’s PET segment represents 50 per cent of the company’s overall production. The segment saw production increase from 2.9 million tonnes in 2013 to 3.1 million tonnes in 2014, a growth of 7 per cent year on year.

Bangkok Polyester is a significant PET manufacturer and exporter to Japan, which is known as the largest PET importer in the world. “This acquisition will make us more outstanding in the industry, and help us expand our customer base in Japan where we are very competitive because of the tax exemption between Thailand and Japan,” said IVL’s chief executive Aloke Lohia.

The acquisition will also help IVL boost its market share in Thailand and Asia as well as integrate its supply chain because the acquired plant is located near its PTA plant in Rayong.

IVL stock increased 1.10 baht per share from its open today to 23.90 baht at noon (local time).

Related stories:

Thailand’s Indorama to acquires PET maker

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.