M&As: Borealis to acquire Italian rPP compounds maker; Petronas Chemicals Group forms specialty chemicals division to pump growth

Austrian chemical firm Borealis has announced that it has signed an agreement to acquire Rialti S.p.A., an Italian polypropylene compounder and recycler. Closing of this transaction is subject to customary regulatory approvals. Terms were not disclosed.

Based in the area of Varese, Italy, Rialti is one of the European market leaders specialised in production of sustainable polypropylene (PP) compounds with a focus on mechanically recycled PP feedstock from post-industrial and post-consumer waste.

With over 30 years of experience, Rialti utilises its annual capacity of 50,000 tonnes to make injection moulding and extrusion PP compounds with applications in different industries, including automotive, appliances and construction.

“During the past decade we’ve made steady progress in our circularity journey. The addition of Rialti to our portfolio will expand our circular offering and strengthen our ability to serve our customers in meeting their sustainability ambitions. As such we continue reinventing essentials for sustainable living” says Lucrèce Foufopoulos, Borealis Executive Vice President Polyolefins, Innovation & Technology and Circular Economy Solutions.

In other news, Malaysia’s Petronas Chemicals Group Berhad (PCG) has formed a dedicated specialty chemicals division to further strengthen its position within the petrochemicals industry. To lead and drive the new division, PCG has appointed

Debbie Chiu Yuen-Yuen as Chief Operating Officer (Specialty Chemicals).

“The global specialty chemicals market growth trajectory is expected to continue, and we are proud to strengthen our presence with the establishment of our new division, marking another major milestone in our specialty chemicals growth journey that is in line with our second-prong strategy. All of us at PCG welcome Dr. Debbie to helm the new division as we are confident in her extensive technical chemistry and application knowledge, as well as having the right vision to materialise our specialty chemicals growth aspirations,” said Mohd Yusri Mohamed Yusof, PCG Managing Director/CEO.

“PCG has clear and ambitious aspirations for its business and specialty chemicals will play a large role in realising them. I am honoured to be leading this new team and I look forward to delivering positive impact through maximising our current offerings and capitalising on growth opportunities for the company,” said Debbie.

As part of its Two-Pronged Strategy, PCG has identified the diversification into Specialty Chemicals as a key anchor for the company’s growth and to cushion the business against the cyclical nature and volatility of the broader oil and gas industry.

The company has made significant strides in this segment’s growth journey, most notably with the landmark acquisition of Perstorp Group, a Sweden-based global leader in sustainable specialty chemicals, that will see to the expansion of its presence through stronger positioning in Asia Pacific markets. PCG’s specialty chemicals portfolio brings a wide range of products that includes Silicones, Lube Oil Additives and Chemicals, Resin and Coatings, Engineered Fluids, Animal Nutrition, and Advanced Coatings to the market.

PCG adds it looks forward to growing its specialty chemicals presence and capturing new revenue streams with the establishment of the new division of about 2,000 employees.

(PRA)

Subscribe to Get the Latest Updates from PRA  Please click here