INEOS has announced on Tuesday that it has signed an agreement to acquire Cristal’s (National Titanium Dioxide Company Limited) North American TiO2 business from Tronox Limited for $700 million.
The North American business of Cristal includes two plants located in the complex of Ashtabula Ohio (US). The deal is the proposed remedy package submitted by Tronox to the United States Federal Trade Commission (FTC) prior to its proposed acquisition of the global TiO2 business of Cristal.
The proposed Cristal’s North American business sale to INEOS has been supported by North American customers from Cristal and Tronox and will make INEOS the country’s second largest producer of this crucial product. The Federal Trade Commission (FTC) is subject to clearance for the broader transaction and remedy proposal.
Jim Ratcliffe, INEOS Chairman said, “This is a great opportunity for INEOS to enter the pigments market and become the second largest producer of titanium dioxide in the key North American market.”
Ashley Reed, CEO of INEOS Enterprises said, “This is a great opportunity for INEOS to enter the pigments market, by acquiring a competitive business, with excellent people and assets. INEOS has a strong track record of manufacturing excellence, running its businesses safely and reliably and working closely with customers to meet their growth aspirations.”
Titanium dioxide is a white pigment found in a wide variety of paint and varnish applications, including paper and plastics. Printing inks, fibres, rubber, cosmetic products, glass and ceramics are some of its pigment applications. The global market for titanium dioxide is highly competitive, with players competing on the basis of price, quality or product, technical service, and high-performance pigment availability.