INEOS Styrolution buys K-Resin SBC business
Ineos Styrolution has signed a deal to acquire the global K-Resin styrene-butadiene copolymers (SBC) unit of Chevron Phillips Chemical Company (Chevron Phillips Chemical) and Daelim Industrial, which are the current joint venture owners.
The firms have not yet revealed the intended purchase price or any other financial details.
The deal is subject to customary closing conditions and regulatory approvals and includes acquisition of equity interests of K R Copolymer Co (KRCC), K-Resin SBC intellectual property and other assets related to the SBC business.
Once complete, the deal will enable Ineos Styrolution to supply its customers from production locations in the Americas, EMEA and Asia-Pacific.
The purchase underlines Ineos Styrolution’s commitment to its 'Triple Shift' growth strategy with a focus on its styrenic specialties business.
K-Resin SBC and Ineos Styrolution’s existing SBC brands Styrolux and Styroflex complement each other well.
The combined business will provide a selection of SBC products to customers worldwide.
Ineos Styrolution CEO Kevin McQuade said: “This measure marks our first acquisition and drives the further implementation of our 'Triple Shift' growth strategy. We will strengthen our ability to offer specialty styrenics products to our customers, and increase our production capacities in Asia.
"Our customers will benefit from our ability to supply and support their worldwide demand from our expanded geographic footprint, with SBC manufacturing and research and development centres in all major regions, and from the well-known premium K-Resin SBC brand.
“With this investment, we will further enhance our global presence in styrenics.”
In February 2000, Chevron Phillips Chemical and Daelim Industrial Company founded KRCC as a joint-venture.
The K-Resin SBC plant is located in Yeosu Petrochemical Complex in South Korea.
Ineos Styrolution Asia-Pacific president Steve Harrington said: “I am impressed by the quality of the production site, a formidable operation and by the strong motivation of the staff.
“We are looking forward to integrate the local Korean assets quickly into our Korean INEOS Styrolution operations.”