Indorama Ventures' Dutch subsidiary is acquiring a majority stake in SASA Polyester Sanayi in Turkey.
The company reported to the Stock Exchange of Thailand yesterday that its subsidiary Indorama Netherlands had signed a sale and purchase agreement for the acquisition of 51 per cent of SASA Polyester Sanayi from Haci Omer Sabanci Holding.
SASA, a leading producer of polyester and PET (polyethylene terephthalate, a type of plastic commonly used for bottles), is a publicly listed company on the Istanbul stock market. Indorama Ventures (IVL) will conduct a mandatory tender offer for the remaining 49 per cent of SASA’s shares as per requirement of Turkish capital-markets legislation.
The completion of the deal is subject to the usual conditions precedent and regulatory approvals and is expected to be completed within the current second quarter of the year.
SASA incorporates integrated feedstock and facilities producing DMT (dimethyl terephthalate), staple fibres, filament yarns, PET, PBT (polybutylene terephthalate) and speciality chemicals with a total plant capacity of 600,000 tonnes per annum.
SASA supplies both Turkish and European markets with high-quality and high-value-added products, IVL said.
The total value of the acquisition, calculated in accordance with the regulations of the Capital Market Supervisory Board and the SET, is less than 15 per cent of that prescribed by the Thai exchange’s regulations.
"We will disclose the results of the tender offer process after its completion," IVL secretary Souvik Roy Chowdhury reported to the SET.