 "Dutch firm LyondellBasell to acquire polypropylene compounds maker SJS Plastiblends")
The Netherlands-based LyondellBasell, one of the world's largest plastics, chemical and refining companies, has entered into a definitive agreement to acquire Aurangabad (Maharashtra) based polypropylene (PP) compounds manufacturer SJS Plastiblends Pvt Ltd. This strategic acquisition will expand LyondellBasell's existing footprint in India and further enhance the company's position in India's growing automotive market.
“This acquisition will expand our global PPC manufacturing footprint and allow us to better compete in the long-term growth of India's automotive market. We are very proud of the strong, global reputation we have built by manufacturing high-quality products and providing excellent service to our customers. We look forward to continuing this tradition in India through this expansion,” said Bhavesh V (Bob) Patel, CEO and chairman of the Management Board of LyondellBasell.
ALSO READ: LyondellBasell selects Bhavesh Patel as CEO
Globally, India represents the fourth largest growth market for automobiles, with three million new vehicles produced each year. According to IHS Inc, India's automotive market is expected to continue growing by six to eight percent annually through 2021. LyondellBasell has supplied the Indian market through imports and tolling arrangements since 2009.
The acquisition agreement was signed on August 7, 2015, and the transaction is expected to close in late 2015. This acquisition will follow LyondellBasell’s strategic growth model by enhancing its competitive position in attractive markets. Until the transaction is complete, SJS Plastiblends will conduct business as usual and continue to provide the same level of support, service and high quality products to its customers.
SJS Plastiblends, established in 1996, is one of the leading supplier of high-performance thermoplastic compounds, which are used as raw materials in a variety of market segments such as automotive components, home appliances, packaging, irrigation equipment and other markets. SJS has approximately 60 employees and one manufacturing site at Aurangabad with annual production capacity of approximately 12,000 metric tonnes of polypropylene compounds, which are used in the production of thermoplastic materials. SJS Plastiblends principal product lines consist of proprietary and custom-formulated thermoplastic compounds that improve the aesthetics and performance of plastics in specialised applications.
“This acquisition will expand our global PPC manufacturing footprint and allow us to better compete in the long-term growth of India's automotive market. We are very proud of the strong, global reputation we have built by manufacturing high-quality products and providing excellent service to our customers. We look forward to continuing this tradition in India through this expansion,” said Bhavesh V (Bob) Patel, CEO and chairman of the Management Board of LyondellBasell.
ALSO READ: LyondellBasell selects Bhavesh Patel as CEO
Globally, India represents the fourth largest growth market for automobiles, with three million new vehicles produced each year. According to IHS Inc, India's automotive market is expected to continue growing by six to eight percent annually through 2021. LyondellBasell has supplied the Indian market through imports and tolling arrangements since 2009.
The acquisition agreement was signed on August 7, 2015, and the transaction is expected to close in late 2015. This acquisition will follow LyondellBasell’s strategic growth model by enhancing its competitive position in attractive markets. Until the transaction is complete, SJS Plastiblends will conduct business as usual and continue to provide the same level of support, service and high quality products to its customers.
SJS Plastiblends, established in 1996, is one of the leading supplier of high-performance thermoplastic compounds, which are used as raw materials in a variety of market segments such as automotive components, home appliances, packaging, irrigation equipment and other markets. SJS has approximately 60 employees and one manufacturing site at Aurangabad with annual production capacity of approximately 12,000 metric tonnes of polypropylene compounds, which are used in the production of thermoplastic materials. SJS Plastiblends principal product lines consist of proprietary and custom-formulated thermoplastic compounds that improve the aesthetics and performance of plastics in specialised applications.
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