JAPAN: Mitsubishi Rayon enters into merger agreement to strengthen acrylonitrile chain

Under the agreement, MRC will purchase from Mitsubishi Chemical Corp. (MCC) all shares of Dia-Nitrix Co. (DNX) now held by MCC. DNX is currently a joint venture of MRC and MCC.

Following the acquisition of MCC's shares, which is scheduled for 31 March 2013, DNX will become a wholly-owned subsidiary of MRC, and DNX's business will be reorganized into MRC's acrylonitrile business.

DNX is involved in the production, sale and research and development of acrylonitrile, acrylamide and acrylamide polymer, as well acrylonitrile and acrylamide manufacturing catalysts. The company has plants in Mizushima, Otake, Kurosaki, Yokohama and Toyama, Japan.

MRC said the merger will allow it to "comprehensively enhance its competitiveness by strengthening its ability to accurately and consistently meet research and development, manufacturing and customer needs across the entire acrylonitrile chain.”

Source: Weekly "PetroChemical News", Durham, NC, USA; 4 Mar 2013(Syed Rashid Ali, Karachi, Pakistan)