Indorama Ventures Ltd. (IVL) announced that it has, through its indirect subsidiary Indorama Netherlands B.V., signed a Conditional Share Purchase Agreement with O.R.V. Ovattificio Resinatura Valpadana S.P.A. and OPOKA LTD., to acquire a 100% equity stake of Industrie Maurizio Peruzzo Polowat spółka z ograniczoną odpowiedzialnością (IMP Polowat), a limited-liability company incorporated under the laws of Poland.
This transaction is expected to be completed in the third quarter of 2020, subject to regulatory approvals.
IMP Polowat consists of two production sites located in Bielsko-Biala and Leczyca, Poland, and processes post-consumer polyethylene terephthalate (PET) into Recycled Polyethylene Terephthalate (rPET) flakes and pellets, with a combined capacity of ~27,000 metric tons per year, consisting of 23,000 metric tons per year rPET flakes and 4,000 metric tons per year of rPET pellets.
This facility will be an attractive recycling platform for IVL in Eastern Europe, and will open up new opportunities to meet the increasing rPET demand for more sustainable packaging solutions.
The combination of access to local bottle supply and trusted product quality will secure opportunity for IVL for growth and expansion over time. The acquisition is consistent with IVL’s ambitious target in scaling its recycling capacity to reach 750,000 metric tons per year by 2025.
In June, IVL acquired a PET recycling facility in Brazil, adding to its previous acquisition of Brazil’s largest PET manufacturing facility from M&G Polimeros in 2018. In 2019, IVL acquired plastics recycling assets in the U.S. (in California and Alabama), and in 2018 acquired a plastics recycling business in France, as well as PET manufacturing assets in Germany and Egypt.