Global chemical producer Indorama Ventures Public Co. Ltd. (IVL), Bangkok, says it has entered into a definitive agreement to acquire Industrie Maurizio Peruzzo Polowat spółka z ograniczoną odpowiedzialnością (IMP Polowat), a polyethylene terephthalate (PET) recycler in Poland. The acquisition consists of two assets, strategically located in Bielsko-Biala and Leczyca, close to the major population centers of Kraków and Warsaw. The production sites have a combined annual capacity of 23,000 metric tons of recycled PET (rPET) flakes and 4,000 metric tons of rPET pellets. The company employees 118 people.
IVL says the acquisition is expected to close in the third quarter of 2020, subject to regulatory approvals.
IMP Polowat is one of the leading PET recyclers in Poland, ILV says, adding that the purchase is consistent with IVL’s ambitious target in scaling its recycling capacity to reach 750,000 metric tons by 2025. It also adds an attractive recycling platform for IVL in Eastern Europe and will open up new opportunities to meet the increasing rPET demand, according to the company. The combination of access to local bottle supply and trusted product quality will secure the opportunity for IVL to grow and expand in time.
IVL says Poland is a strategic market for the company. With 260,000 metric tons of PET bottle consumption annually and active discussion about a deposit return scheme and improved collection, the company says it has a significant opportunity to increase capacity and capitalize on growing rPET demand.
Yashovardhan Lohia, executive director and head of sustainability of Indorama Ventures, says, “We are pleased to continue to execute on our growth strategy of pursuing strategic acquisitions even during this unprecedented time. IMP Polowat represents a strategic fit for us.”
He adds that IVL’s commitment to the Polish market dates back to 2011 and the purchase of an integrated PET asset in Wloclawek, Poland. “With the acquisition of IMP Polowat we are adding a recycling facility to bring synergies and a circular business model to our Polish operations.”
Lohia continues, “IVL is fully committed to its strategy and its role in addressing the issue of plastic waste and enhancing the circularity of PET. We continue to make good progress and remain confident in achieving our ambitious 2025 target to recycle at least 50 billion bottles per year and investing $ 1.5 billion to achieve this by 2025.”