INEOS completes €290m Borealis Norway purchase

03 September 2007 10:27  [Source: ICIS news]

LONDON (ICIS news)--INEOS has completed the €290m ($394m) acquisition of Borealis’ petrochemicals business in Norway, the UK chemicals major said on Monday.

 

“The acquisition of Borealis AS is an important development for INEOS Olefins,” said INEOS Olefins CEO Tom Crotty.

 

“This not only increases our European manufacturing capacity but also gives us a share of a first-class gas cracker based at the heart of the Norwegian energy industry.”

 

The business includes a 50% interest in the Noretyl ethylene cracker at Rafnes and three polyolefin plants producing polypropylene (PP), low density polyethylene (LDPE) and high density polyethylene (HDPE) at the nearby Bamble site.

 

“Bamble’s PO business fits well within the INEOS portfolio and provides us greater geographical reach and presence with key customers in the Scandinavian market, while also offering significant synergies across several market sectors,” said INEOS Polyolefins CEO Bill Reid. 

 

The acquisition, announced by the two companies in June, was cleared by the European Commission (EC) on 24 August.

 

INEOS is also acquiring Norsk Hydro's Kerling petrochemicals business. The EC is expected to announce its ruling on that deal on Friday.

 

Last year, INEOS bought eythlene oxide/ethylene glycol (EO/EG) operations from BP in Germany.

 

($1 = €0.73)

 

By: Graeme Paterson
+44 20 8652 3214

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