Polyamide supplier Rhodia has completed its acquisition of the engineering plastics business of Indian company PI Industries Ltd (PIIL), after receiving approval of the relevant Indian authorities.
Rhodia announced last December that it had signed a binding agreement to acquire PI Polymer, a compounder of engineering plastics that was part of PIIL. The acquisition represents Rhodia's first plastics compounding capacity in India. Early this month, plastics and chemicals supplier Solvay announced it was making a friendly takeover bid for Rhodia.
Back to India: when Rhodia announced its plans to acquire PI Polymer, it said it intended to control more than 15% of the demand there for polyamide compounds by 2015. PI Polymer forecasts about $13 million in sales revenue for its fiscal year 2010/11. The transaction includes all of PI Polymer's assets, including its lone compounding facility that employs more than 80; its R&D capabilities, customer base and logistics network in India....