Dhunseri Petrochem to exit its JV in Egypt with Indorama

Dhunseri Petrochem has entered into a share purchase agreement on 14 June 2018 with Indorama Ventures Public Company and two of its subsidiary companies Indorama Netherlands B.V. and Indorama Netherlands Cooperatief U.A. (together "Indorama"), to sell 50% of the Company's stake in its existing joint venture company - Egyptian Indian Polyester Company S.A.E ("EIPET") to Indorama.

Simultaneously with the execution of the share purchase agreement, the Company and Indorama also executed a shareholders' agreement to determine their mutual rights and obligations and other matters in connection therewith both inter se as shareholders and vis-vis the Company and, including those relating to the management and operations of EIPET.

 

Prior to the execution of the share purchase agreement with Indorama, the Company entered into a share purchase agreement dated 20 May 2018 with one of its existing joint venture partners - Egyptian Petrochemicals Holding Company ("ECHEM") for the purchase of its 23% stake in EIPET over several tranches ("ECHEM SPA").

Indorama shall be an equal shareholder with the Company in the ratio of 1:1 inter alia through a combination of sale of shares of EIPET held by the Company and those that the Company shall acquire in tranches from ECHEM pursuant to the ECHEM SPA.

Pursuant to the above, the Company has agreed to sell 50% of its shares of EIPET to Indorama.

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