Indorama Ventures to acquire Artlant PTA in Portugal

Artlant has a purified terephthalic acid (PTA) plant in the Sines Industrial Complex in Portugal with a production capacity of 700,000 tonnes per annum. Its acquisition will add substantial scale and enhance IVL’s PTA leadership in Europe.

Artelia has a capacity of 40.390 MW of electricity, steam, demineralised water, wastewater treatment and hydrogen. Its acquisition will benefit IVL by securing energy supply to Artlant and selling excess power to the grid.

PTA is used as raw material for polyester (PET) production. With the company’s plan to grow its core businesses in the future, this feedstock security will be a solid basis for portfolio expansion. IVL expects to reduce cost and increase operational synergies via internal supply of feedstock and replace imports in Europe.

“Artlant fortifies our core PTA business and is a part of our successful vertical integration strategy. We can apply our scale and operational expertise while taking advantage of cost synergies and capture the opportunity for future growth and expansion,” said IVL group CEO Aloke Lohia.

“We are confident that Artlant will drive the growth of the polyester business both in Portugal and the rest of Europe. It will support employment opportunities in the region, and help economic growth. I look forward to closing the deal in the fourth quarter of 2017,” he added. (RKS)

Fibre2Fashion News Desk – India