Ineos Styrolution to Buy Korean JV
Marking its first acquisition since Ineos took over the former joint venture with BASF, Ineos Styrolution has signed an agreement to buy the joint-venture K-Resin styrene-butadiene copolymers (SBC) business of Chevron Phillips Chemical Company and Daelim Industrial for an undisclosed sum. The purchase will comprise the equity interests in K R Copolymer Company (KRCC), which is owned 60% by Chevron Phillips Chemical and 40% by Daelim, as well as intellectual property for K-Resin and other assets related to the SBC business.
Once completed, the acquisition will allow Ineos Styrolution to supply its customers from production sites in Europe, the Middle East & Africa, the Americas and Asia-Pacific. The company said the deal underlines its commitment to its “Triple Shift” growth strategy, an initiative launched in 2013 to focus on higher-growth industries, styrenic specialties and standard ABS, along with emerging markets.
K-Resin SBC is complementary to Ineos Styrolution’s existing Styrolux and Styroflex SBC brands, expanding the company’s portfolio. “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 centers in all major regions,” commented CEO Kevin McQuade.
KRCC’s SBC plant is located in Yeosu, on the southern coast of South Korea, some 175 kilometers from Ineos Styrolution’s plant in Ulsan. The transaction remains subject to the usual closing conditions and regulatory approvals.
