-Acquisition of leading specialty grade PVC resin manufacturer supports Mexichem s focus on high-end specialty products-
TLALNEPANTLA, Mexico--(BUSINESS WIRE)--Mexichem, S.A.B. de C.V. (BMV:MEXCHEM*) ( the Company or Mexichem ) announced that it has received clearance from all antitrust authorities with respect to its acquisition of VESTOLIT GmbH (Vesto PVC Holding GmbH, VESTOLIT ). Mexichem expects to close the transaction on December 1, 2014.
Based in Marl, Germany, VESTOLIT is Europe s only manufacturer of High Impact Suspension PVC (HIS-PVC) for weather-resistant windows and is Europe s second-largest producer of paste PVC for floors and wallpapers. VESTOLIT also produces alkyl-chlorides, a value-added intermediary used for a variety of chemical and industrial applications and is vertically integrated in a single site from Salt through Specialty PVC. Total installed PVC capacity is 415,000 tons per year.
Mexichem views this transaction is an opportunity to expand its European footprint, enter a new market segment and acquire new technology and best practices. The Company will consolidate VESTOLIT under its Chlorine-Vinyl chain for accounting purposes once the transaction is closed. VESTOLIT will continue to operate under its current management and with its existing portfolio of branded products..
Mexichem is a global specialty chemicals company, producing the raw materials for key products used in infrastructure, housing, drinking water and other vital industries. Our customers are spread across more than 50 countries and they rely on our efficient, market-leading production to meet their needs. Currently, the group operates under three major production chains: Chlorine-Vinyl, Fluorine and Integral Solutions. The Company has annual revenues of more than US$5 billion and has been listed on the Mexican Stock Exchange for more than 30 years.
In addition to historical information, this press release contains "forward-looking" statements that reflect management's expectations for the future. A variety of important factors could cause results to differ materially from such statements. These factors are noted throughout Mexichem s regulatory filings. The forward-looking statements included herein represent Mexichem s views as of the date of this press release. Mexichem undertakes no obligation to revise or update publicly any forward-looking statement for any reason unless required by law.
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