Thailand’s Indorama Ventures buys PET recycling facilities in Poland
BANGKOK, NNA - Thailand’s petrochemicals producer Indorama Ventures Public Co. (IVL) has purchased PET (polyethylene terephthalate) recycling facilities in Poland to expand its business and meet its global growth targets.
The Thai firm has signed an agreement with Italy’s fabrics producer O.R.V. Ovattificio Resinatura Vlpadana S.P.A. and Opoka Ltd. to acquire a 100 percent stake of Industrie Maurizio peruzzo Polowat spolka z ograniczona odpowiedzalnoscia (IMP Polowat) for an undisclosed sum, according to its filing with the Stock Exchange of Thailand on Tuesday.
“Poland is a strategic market for IVL and has made significant progress on waste management and recycling,”an IVL spokesman told NNA.
The investment will help IVL reach its target of recycling 750,000 tons per year by 2025, equivalent to 50 billion PET bottles, the spokesman said.
The acquisition marks the firm’s first entry to Poland’s PET recycling business. IVL acquired an integrated PET resin facility in Wlocawek, Poland in 2011.
IMP Polowat’s facilities are located in two locations of Bielsko-Biala and Leczyca, close to the major Polish cities of Krakow and Warsaw. They process post-consumer PET into recycled PET (rPET) flakes and pellets, with a total combined capacity of 23,000 tons of rPET flakes and 4,000 tons of rPET pellets, according to the filing.
Poland consumes more than 260,000 PET bottles a year and is considering ways of supporting collection, and IVL sees an opportunity to capitalize on the growing demand, according to its statement.
The acquisition, made through the company’s indirect subsidiary Indorama Netherlands B.V., Indorama Ventures, is expected to close in the third quarter of 2020, subject to regulatory approvals.
IVL has PET recycling assets in Thailand, the United States, the Netherlands and Mexico, and invested in Brazil’s PET firm G Resinas in June 2020.