Alpek and BASF have signed agreements concerning the EPS
(expandable polystyrene) and PU (polyurethane) business
activities of their Polioles joint venture in Mexico, and
BASFs EPS business in North and South America,
excluding BASFs Neopor (grey EPS) business.
Alpek will acquire all of Polioles EPS business
activities, including its EPS production site in Altamira,
Mexico. In parallel, BASF will acquire Polioles PU
business activities, including selected assets in its Lerma
facility as well as all marketing and selling rights for PU
systems, isocyanates and polyols.
Upon completion of the transaction, Polioles will continue
operations as an Alpek-BASF joint venture with a product
portfolio comprised of industrial and specialty chemicals.
Under the agreements, Alpek will also acquire BASFs EPS
business activities in North and South America, including:
- BASFs EPS sales and distribution channels in
North and South America,
- BASFs EPS production facilities in Guaratingueta,
Brazil, and General Lagos, Argentina, and
- BASFs EPS foam parts business in Chile (Aislapol,
The combined capacity of all EPS production facilities
that Alpek will acquire
is approximately 230,000 tpy. This figure includes
Polioles 165,000 tpy production plant in Altamira,
Mexico. Approximately 440 employees work in the businesses
that are subject to the agreements -- 380 employees in the
EPS businesses and 60 employees in the PU business. The
majority of these employees will keep their position under
the new ownerships.
BASF says it will continue to sell Neopor to its customers in
the US, Canada and South America. In Mexico, Alpek will sell
Neopor for BASF based on a distribution agreement.
All agreements are subject to approval by the appropriate
authorities. Closing of the transaction is expected by early
2015. Financial terms of the agreement were not disclosed.
This transaction represents an attractive opportunity
for Alpek to build upon its EPS operations in Mexico, expand
its EPS footprint across the Americas, and consolidate its
plastics & chemicals product portfolio," said
Jose de Jesus Valdez, Alpeks CEO. "It also reaffirms
Alpeks commitment to the EPS value chain, where we will
continue providing the highest standard of quality and
service to all our customers.
The acquisition of the PU business significantly
strengthens BASF Performance Materials
industry-oriented customer solutions approach across North
America and globally," said Raimar Jahn, president of BASF's
performance materials business. "BASF will focus its EPS
business on strategic markets in Europe
and Asia as well as on
Neopor, which is produced in Germany and Korea."