Bangkok-based Indorama Ventures Public Co. Ltd. (IVL), a leading petrochemical company, announced it has entered into an agreement to acquire a PET recycling facility from Alabama-based Custom Polymers PET. Both companies have recycling footprints in Europe, Mexico, Thailand and U.S.
In addition, Indorama bought Germany-based PET manufacturing facility from Invista Resins & Fibers. The company will own the intellectual property rights of Polyshield PET and Oxyclear Barrier PET and says it will continue to support demands for oxygen barrier and resin barrier packaging.
The Germany PET plant has a combined capacity of 282,000 tons per year and staff of 140 employees. The Alabama facility has production lines for recycled PET flakes and pellets with a combined capacity of 31,000 tons per year, according to a news release.
“At Indorama Ventures, we intend to play a key role in promoting the circular economy and environmental sustainability by continuing to pursue the right opportunities to fill gaps that are intrinsic to our industry’s sustainable and profitable business,” Indorama Ventures CEO Aloke Lohia said in the release. “We strongly feel that this initiative will contribute as an attractive platform for strong future growth in our commitment to sustainable recycling business with the potential to expand further with the support of our stakeholders."
The company says the deals are in line with the company and industry’s growing emphasis on sustainability and circular economy objectives among consumer packaging manufacturers. IVL says the acquisition will allow the company to meet “increasing food-grade recycled PET demand for more sustainable packaging solutions by major brand owners.”