Indorama Ventures (IVL) has completed the previously announced acquisition of the polyethylene terephthalate (PET) assets of PT Polypet Karyapersada in Indonesia. The deal was first announced in March 2012.
According to IVL, the deal provides the company 100,800t of PET capacity adjacent to the PTA assets of PT Indorama Petrochemicals, formerly known as PT Polyprima Karyesreska at Cilegon, West Java, which was acquired by IVL under a joint venture (JV) in 2011.
IVL group CEO Aloke Lohia said the company has pursued an integration strategy of its PET and PTA businesses in Thailand, Italy under a JV and The Netherlands and previously announced integration into monoethylene glycol (MEG) in North America.
"The country is a very attractive market for long term investment and the Polypet deal will allow us to keep pace with and serve the growth of our major customers in the country," Lohia said.
The PT Polypet takeover will create synergies due to it being co-sited with the company’s PTA plant PT Indorama Petrochemicals in Indonesia, making it a strategic investment in the country.