The EU Commission on Wednesday gave its approval for the Styrolution joint venture between
Germany-based BASF and UK-based INEOS.
The companies now have EU clearance to combine their global
business activities in styrene monomers (SM), polystyrene (PS),
acrylonitrile butadiene styrene (ABS), styrene-butadiene block
copolymers (SBC) and other styrene-based copolymers (SAN,
AMSAN, ASA, MABS) as well as copolymer blends, officials
Pro forma sales of the combined businesses were 6.4
billion in 2010. Expandable polystyrene is not part of this
transaction, where BASF and INEOS will retain their respective
With Styrolution, BASF and INEOS will establish the leading
company in the global styrenics market, the companies said.
Styrolution has an excellent global position with production
sites in Europe, Asia and North America, they said.
The EU Commission approved the joint venture subject to the
requirement that the parties sell an ABS production site in
Tarragona, Spain, the companies noted.
This site accounted for less than 3% of Styrolutions
pro forma EBITDA for the year 2010. The formation of the new
joint venture has already been approved by the US Federal Trade
Commission without any remedies.
BASF and INEOS will continue to operate as strictly
independent companies until the completion of the deal, which
is anticipated in 2011, subject to remaining approvals from
antitrust authorities in other countries.