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Germany : WESTLAKE CHEMICAL plans to buy PVC manufacturer in GERMANY

June 1, 2014

Westlake Chemical Corp. declared that it is planning to acquire Germany based polyvinyl chloride maker companies for $667 million.

The company will buy Vinnolit Holdings and its subsidiary companies from private-equity firm Advent International. PVC is used in cars, plumbing and a host of other products to protect electrical cable, and in some applications where it replaces rubber.

According to Westlake, it will provide finance to the acquisition with existing cash and credit facilities. It supposed to conclude the acquisition in the third quarter. Vinnolit has five production facilities in Germany and one in the United Kingdom.

The operations have a joined capacity of 780 thousand metric tons of PVC per year. It includes mainly paste and suspension grades, 665 thousand metric tons of vinyl chloride monomer and 475 thousand metric tons of membrane grade caustic soda.

Albert Chao, Westlake president and CEO, commented The acquisition of Vinnolit is an excellent strategic fit for Westlake. It will allow us to expand our chlorvinyl business globally and adds important specialty PVC products and technology to our existing portfolio.

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Source: TendersInfo (India)

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