INEOS Group has today received clearance from the EU competition authorities for its proposed acquisition of the vinyl acetate monomer and ethyl acetate businesses from BP.
The deal comprises 500ktpa of production capacity at the Saltend manufacturing site near Hull, UK, along with the Teesside to Saltend Ethylene Pipeline.
The acquisition of BP’s acetate businesses provides a complementary fit with the portfolio, technologies and expertise of INEOS. It also allows the Company to optimise existing links between the Hull and Grangemouth manufacturing sites.
“The addition of these facilities broadens the INEOS portfolio of oxygenated solvents, optimises existing links with our Grangemouth site and helps us to meet the growing demand for both products," said Jim Ratcliffe, INEOS Chairman.
“These are well placed assets, complemented by a very experienced operations team and high safety, health and environmental standards. Acquiring these two businesses provides another step forward in the development of INEOS in Europe.”
Upon completion the new acetate businesses will be integrated into the portfolios of INEOS Enterprises and INEOS Oxide.
The transaction is expected to close in the first quarter 2008.