Laffans Petrochemicals Ltd

Laffans Petrochemicals Ltd

Laffans Petrochemicals Limited was incorporated in 27th November 1992. The Company was engaged in manufacturing of Petroleum Chemicals. The Company set up in 1994 to manufacture ethylene oxide derivatives such as Ethoxylates Glycol Ethers Acetates Triethonal-amine and Brake fluids is located in Ankleshwar Gujarat.A recent entrant in the petrochemical industry Laffans Petrochemicals manufactures petrochemical derivatives for supply to the paint and automobile industries. Its product range includes speciality chemicals like surfactants (based on fatty alcohol) solvents (like glycol ethers) amines (like ethanol amines) polyethylene glycols etc. To manufacture these petro products which are termed ethylene oxide derivatives a plant has been set up with technical assistance from Reliance Industries. It has a locational advantage since the site at Panoli Ankleshwar is about 60 km from Reliance and 70 km from IPCL. Both these supply it with ethylene oxide its basic raw material.In Oct.'93 it commenced commercial production and started supplying glycol ether and ethoxylate. The glycol ether capacity is being expanded to 10000 tpa. The company came out with a public issue in Mar.'94 for the purpose. It was set up with a total investment of Rs 10 cr. It is the only supplier of butyl carbitol and acetates which were being imported by all the paint companies in India.Major customers of the company include Goodlass Nerolac Jenson & Nicholson Berger Paints Asian Paints Castrol Kalyani Brakes Pidilite Industries etc. Its products are sold under the Laffcols brand. They find application in the adhesives ceramics cosmetics leather processing pharmaceutical textiles inks paints lubricants and paper industries.Laffans Petro recently tied up with Altachem Belgium to manufacture building chemicals. This collaboration involves technology transfer and investments by the foreign partner. They have agreed to take an equity stake in Laffans Petro. The company has tied up with Akzo Nobel Sweden to manufacture petrochemical products in India to meet part of their global requirements. This collaboration too involves technology transfer and investments by the Akzo group. In 1995-96 company came out with an expansion plan to expand its Glycol Ether capacity to 10000 MTPA with an investment outlay of Rs. 800 lacs to be funded with institutional loan components of Rs. 600 lacs and internal generation of Rs. 200 lacs without any addition to Equity.The Company entered into collaboration with global leader Huntsman chemicals in 2009 for manufacturing of ethylene oxide derivatives under Huntsman brand and technology. Laffans was the single largest buyer of Ethylene Oxide in India. In year 2011 the Company's manufacturing unit was acquired by Huntsman Corporation which engaged in the business of trading in chemicals and API and in commodities arbitrage.