acquires PET facilities in US, Germany
Bangkok-based Indorama Ventures Public Co. Ltd. (IVL), a leading petrochemical company, has entered into an agreement to acquire a polyethylene terephthalate (PET) recycling facility from Alabama-based Custom Polymers PET. Both companies have recycling footprints in Europe, Mexico, Thailand
In addition, Indorama bought a Germany-based PET manufacturing facility from Invista Resins & Fibers. The company will own the intellectual property rights to Polyshield PET and Oxyclear Barrier PET and says it will continue to support demand for oxygen barrier and resin barrier packaging.
The PET plant in Germany has a combined capacity of 282,000 tons per year and employs 140 people. The Alabama facility has production lines for recycled PET flake and pellets with a combined capacity of 31,000 tons per year, according to a news release from Indorama.
“At Indorama Ventures, we intend to play a key role in promoting the circular economy and environmental sustainability by continuing to pursue the right opportunities to fill gaps that are intrinsic to our industry’s sustainable and profitable business,” Indorama Ventures CEO Aloke Lohia says. “We strongly feel that this initiative will contribute as an attractive platform for strong future growth in our commitment to sustainable recycling business with the potential to expand further with the support of our stakeholders.”
The company says the deals are in line with the growing emphasis on sustainability and the circular economy objectives of consumer packaging manufacturers and will allow it to meet “increasing food-grade recycled PET demand for more sustainable packaging solutions by major brand owners.”