ICI
Sale of industrial chemicals to Huntsman / PU part of the deal / Acrylics up for grabs, too
The ICI group (Millbank, GB-London SW1P 3JF) is implementing its long-planned exit from the industrial chemicals sector. First major move is the sale of titanium dioxide, polyurethanes and selected petrochemical assets to US family-owned Huntsman Corp. (Salt Lake City) for GBP 1.7bn (EUR 2.6bn). Next to go will be acrylics, and Huntsman is interested, but ICI has not put a timetable on this sale.
Annual turnover of the portfolio being sold to Huntsman is more than GBP 2bn. With 7,000 employees, the activites based in 15 countries are to be brought into a holding called HICI, in which the UK group will hold 30% for a period of at least three years. Income from the sale will be used to reduce debt resulting from the acquisition of Unilever´s speciality chemicals businesses.
ICI´s polyurethanes segment increased earnings in 1998 by focusing on high-value market segments and reducing costs, the group said in its annual report. A new plant was started up in the Netherlands; capacities at Geismar, Louisiania (USA) are currently being widened to 100,000 t/y. ICI also has its sights set on the vast Chinese market, where it is spearheading a drive to substitute PU for PVC in shoes.
New materials marketed under the “Lucite” trademark drove ICI´s acrylics business into higher margin sectors last year. Among other things, its R&D arm is looking for ways to add the properties of acrylics to other materials to meet specific needs. In the home construction market, the UK group has developed a technique for adding acrylic to PVC cladding to stop weathering.
ICI annual report for 1998: PIE-No. 43679.
Annual turnover of the portfolio being sold to Huntsman is more than GBP 2bn. With 7,000 employees, the activites based in 15 countries are to be brought into a holding called HICI, in which the UK group will hold 30% for a period of at least three years. Income from the sale will be used to reduce debt resulting from the acquisition of Unilever´s speciality chemicals businesses.
ICI´s polyurethanes segment increased earnings in 1998 by focusing on high-value market segments and reducing costs, the group said in its annual report. A new plant was started up in the Netherlands; capacities at Geismar, Louisiania (USA) are currently being widened to 100,000 t/y. ICI also has its sights set on the vast Chinese market, where it is spearheading a drive to substitute PU for PVC in shoes.
New materials marketed under the “Lucite” trademark drove ICI´s acrylics business into higher margin sectors last year. Among other things, its R&D arm is looking for ways to add the properties of acrylics to other materials to meet specific needs. In the home construction market, the UK group has developed a technique for adding acrylic to PVC cladding to stop weathering.
ICI annual report for 1998: PIE-No. 43679.
30.04.1999 Plasteurope.com [18066]
Published on 30.04.1999