8 August 2018
DETAILS
PTT Global Chemical Public Company Limited
(the "Company") would like to inform
that Board of Directors' meeting No. 4/2018
on 23 April 2018 has approved
the Company together with an affiliated company to,
directly and indirectly,
acquire
74% shares of Siam Mitsui PTA Company Limited ("SMPC"),
a Purified Terephthalic Acid ("PTA") producer, and
74% shares of Thai PET Resin Company Limited ("TPRC"),
a Polyethylene Terephthalate resin ("PET resin") producer,
from SCG Chemicals Co., Ltd. ("SCG Chemicals")
and Mitsui Chemicals, Inc. ("MCI"),
total investment around $125 million
or equivalent to approximately 4,148 million baht
(at 33.3 baht per USD) which the final price
may be adjusted depending on some certain factors.
The Share Purchase Agreement
was signed on 8 August 2018.
The investment is harmonized
with the Company's business strategy that
intends to expand the downstream investment
and increase market potential in polymer business
to satisfy customer's need.
In addition, the Company is the major
paraxylene (PX) producer in Thailand,
which PX is PTA's feedstock, and our affiliated company
also is a major producer of
mono-ethylene glycol (MEG) in Thailand,
which is PET's feedstock.
Therefore, this investment generates business opportunities
for the Company and simultaneously enhances the feedstock
management both PX and MEG,
which eventually results in
better profitability throughout the business chain.
Furthermore, the transfer of shares under
Share Purchase Agreement is expected to be completed
within the fourth quarter of 2018 after applying for
Merger Control Filing to governmental authorities
and receiving approvals from such
authorities pursuant to the terms and conditions
in the Share Purchase Agreement.
READ MORE FROM MITSUI CHEMICALS
Sources : www.set.or.th,
WWW.CHEMWINFO.COM BY KHUN PHICHAI
