Indorama Ventures Public Company Limited (IVL), a leading chemical producer, has entered into an agreement to acquire Durafibre Technologies México Operations, S. A. DE C. V. (DFT), a leading Mexican producer of durable technical textiles for industrial, tire reinforcement, and speciailty applications.
DFT?s Queretaro plant in Mexico (co-sited with IVL Mexico) has a capacity to produce a total of 37,500 tonnes/annum of PET High Modulus Low Shrinkage (PET HMLS), PET Heavy Denier Industrial (PET HDI) and Nylon 6 fully-integrated into tire cord fabrics and industrial and industrial textiles. Its products are used in a wide range of applications including reinforcement for conveyor belts, hoses, single-ply roofing, tents, automotive airbags, seat belts, safety harnesses and ropes.
The transaction is expected to be completed in the third quarter of 2017. Concurrently with this planned acquisition in Mexico, IVL has agreed to also acquire Durafibre Longlaville, France, having a capacity of 35,000 tonnes/annum.
?The acquisition of Durafibre is strongly aligned with our strategy of pursuing accretive growth opportunities in the high value-added automotive segment. Durafibre?s portfolio is a complementary fit with our current HVA tire cord fabric products in Europe and a strong fit with our existing PET site in Mexico. Durafibre is a strong brand with recognized products with deep insights into the market combined with IVL?s global scale will enable us to better meet customers? evolving needs,? said Aloke Lohia, Group CEO of Indorama Ventures.