Ineos completes acquisition of Total’s polystyrene business in China
First announced in August, the deal includes the purchase of Total’s Chinese polystyrene business including two production sites in Ningbo and Foshan and two related offices in Guangzhou and Shanghai.
Germany-based styrenics supplier Ineos Styrolution has completed its acquisition of two polystyrene (PS) production sites in China from French multinational Total S.A.
Originally announced in August 2018, the deal included the purchase of the wholly owned Chinese PS business including two production sites in Ningbo and Foshan and two related offices in Guangzhou and Shanghai.
“The transaction supports Ineos’s Triple Shift growth strategy, as it will increase the company’s manufacturing footprint in Asia, and provides access to the domestic market in China with locally produced materials,” Ineos CEO Kevin McQuade said.
The Ningbo plant produces 200,000 tons of PS a year and has 54 employees. It also includes a unit that manufactures polypropylene compounds for automotive parts. After the closing of the transaction, the polypropylene compounds production will be exclusively dedicated to Total.
The Foshan plant produces 200,000 tons of PS a year and has 86 employees.
“This is an important milestone for both Ineos Styrolution and the Ineos Group as it represents our first manufacturing assets in China,” said Steve Harrington, president of Ineos’ Asia Pacific and global styrene monomer division. “In addition, it provides us with a platform to further develop our manufacturing base in China.”