After shaking up the European PVC market with its acquisition of German PVC producer Vestolit (Marl; www.vestolit.de) earlier this month – see Plasteurope.com of 07.08.2014 – Mexichem is now following suit with a major acquisition in the US. The group on 18 August announced that it has reached an agreement to acquire HDPE conduit, duct and pressure pipes producer Dura-Line (Knoxville, Tennessee / USA; www.duraline.com) from private equity firm CHS Capital (www.chsonline.com) for USD 630m in cash and assumed liabilities.

The transaction still has to meet regulatory approval and is expected to be wrapped up in Q4 this year. Once the go-ahead is given, Dura-Line will be consolidated under Mexichem’s Integral Solutions chain, but will continue operating under its current management and with its existing brand portfolio.

Commenting on the purchase, Mexichem CEO Antonio Carrillo said, “The acquisition of Dura-Line is a further step in our strategy of becoming a global, vertically integrated chemical company with a focus on high-end specialised products and solutions.” He added that the US company’s international footprint – Dura-Line manufactures in the US, Mexico, India, Oman, the Czech Republic and South Africa – would provide a growth platform for Mexichem’s product portfolio, too.