Home / Knowledge / News / Textiles / Cognis sells its stake in Cognis Oleochemicals to PTT
Cognis sells its stake in Cognis Oleochemicals to PTT
01
Aug '08
Specialty chemicals supplier Cognis announced the sale of its 50-percent stake in the Cognis Oleochemicals joint venture to PTT Chemical International Private Ltd. (“PTT Chemical International”) a Singapore based wholly owned subsidiary of PTT Chemical Public Company Limited (“PPT Chemical”). PTT Chemical is Thailand's largest producer of olefins and associated products.

The sale is in line with Cognis' strategy of focusing on its core businesses driven by the wellness and sustainability trends. Agreements respecting the transfer of the business and related transactions were signed today in Kuala Lumpur effective June 30, 2008. The final transaction is subject to usual closing conditions including regulatory approvals and is expected to be completed by the end of September 2008.

Cognis has sold its 50 percent stake in the joint venture company to PTT Chemical International for about 104 million euros in cash, representing an enterprise value of 285 million euros for the whole joint venture company.

Cognis already has established a successful relationship with PTT Chemical: In 2005 they founded Thai Ethoxylate Ltd., a 50:50 joint venture and Thailand's first producer of fatty alcohol ethoxylate. 2006 saw the founding of Thai Fatty Alcohols Company Ltd., a 50:50 joint venture between Cognis and PTT Chemical's subsidiary Thai Oleochemicals for the production and marketing of fatty alcohols.

Cognis Oleochemicals is a major producer of natural-based oleochemical products and until now was a 50:50 joint venture between Sime Darby Plantation Sdn Bhd. and Cognis. It operates production sites in Europe, North America and Asia and achieved sales of 729 million euros, including 130 million euros deliveries to Cognis in 2007. Cognis and Sime Darby have been collaborating on the production, marketing and distribution of fatty acids, glycerin and associated products for almost 30 years. In 2006, both companies expanded the scope of their existing joint venture by transferring Cognis' global oleochemicals and plastics technology businesses into an operating company.

Comments Antonio Trius, CEO of Cognis: “The sale of our stake in Cognis Oleochemicals reflects our strategy to consistently concentrate on the innovation-driven growth markets of wellness and sustainability. On the basis of our excellent experiences with Sime Darby and PTT Chemical over many years, we are convinced that the new joint venture offers synergies that will help Oleochemicals to further develop its businesses. By selling our stake to well known partners we ensure a stable supply of our oleochemical basestocks is secured, as we are intending to continue sourcing products from the business under normal third party commercial terms.”

“PTT Chemical is delighted to join with Sime Darby in a strategic partnership that builds a solid platform and provides unprecedented opportunities for Cognis Oleochemicals' long-term growth and stability,” said Aditheb Bisalbutr, PTT Chemical President and CEO.


Must ReadView All

Courtesy: American & Efird

Textiles | On 20th May 2018

A&E introduces Repel

American & Efird (A&E), a global leader in industrial sewing thread...

Archroma working with House of Denim Foundation

Textiles | On 20th May 2018

Archroma working with House of Denim Foundation

Archroma, a leader in colour and specialty chemicals, has joined...

Courtesy: Amazon

Textiles | On 20th May 2018

Amazon opening first fulfillment centre in Tucson

Amazon.com is opening its first fulfillment centre in Tucson, which...

Interviews View All

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


May 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search