LANXESS to become sole owner of Brazil's Petroflex

17 October 2008 15:33  [Source: ICIS news]

LONDON (ICIS news)--LANXESS is set to become the sole owner of Petroflex after acquiring a further 27% stake in the Brazilian rubber producer under a public tender offer to minority shareholders for €60m, the German chemicals company said on Friday.

 

LANXESS bought a 70% stake in the firm in April 2008 for €200m ($269m), and now has enough shares to complete a "squeeze-out " of the remaining shareholders, bringing the total value to €370m, it added.

 

Petroflex could now be de-listed from the Sao Paolo Stock Exchange, the company said.

 

“I’m pleased with the positive response to our offer,” said LANXESS CEO Axel Heitmann. “Now that we are about to successfully complete the acquisition procedure, we can focus our energies on further integrating Petroflex into the group.”

 

Petroflex employs around 600 people with an annual turnover of €535m and a chemicals production capacity of 440,000 tonne/year.

 

It has three production sites in Brazil at Cabo in Pernambuco state, Duque de Caxias in Rio de Janeiro, and Triunfo in Rio Grande do Sul state.

 

($1 = €0.74)

By: Mark Watts
+44 20 8652 3214

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