ICI sells US explosives plants to Orica unit

24 February 2000 10:38  [Source: ICIS news]

LONDON (CNI)--UK chemicals giant ICI has almost completed its exit from the explosives business by selling its main US manufacturing plants to Australia's Orica.

It said Thursday that ICI Explosives USA has sold its principal manufacturing plants at Joplin, Missouri to Orica group member Joplin Manufacturing.

The divestment includes the majority of the manufacturing assets on the site, said ICI. Excluded from the sale is ICI Explosives Environmental Company, which operates a commercial incinerator.

ICI sold its US explosives distribution activities to Orica in 1998, and the Joplin plants were essentially carrying out toll manufacturing for the Melbourne-based company, formerly ICI Australia.

No financial details of the latest deal were disclosed, although analysts put the price at less than $10m (Euro10.1m).

It is understood that ICI Explosives Environmental Company, which disposes of old explosives - principally military munitions, was excluded from the deal because Orica didn't want it.

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Author: Neil Sinclair
+44 20 8652 3214

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