03 September 2010 10:12 [Source: ICIS news]
MOSCOW (ICIS)--Sibur has agreed to acquire a 32% stake in Novatek-Polymer, a producer of plastic products made from polypropylene (PP) and polyethylene (PE), the Russian state petrochemicals major said in a statement on Friday.
The remaining 68% interest is due to be transferred to Sibur from parent company Novatek following the approval of the transaction by the Russian Federal Anti-Monopoly Service, the statement said without disclosing financial details.
"The deal corresponds to Sibur's strategy to develop basic polymer processing operations," Sibur CEO Dmitry Konov was quoted as saying. The company would increase its PP production significantly in coming years and aims to develop domestic sales of polymers, he said.
The takeover is the latest in a series of domestic acquisitions by Sibur.
In December 2009, Sibur acquired a 50% interest in Biaxplen, a local producer of biaxially oriented polypropylene (BOPP), and was reported to be negotiating the acquisition of the remaining 50% stake. Biaxplen currently has BOPP facilities in three Russian regions with a total capacity of 87,000 tonnes/year.
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