Thailand's PTT expanded to PTA/PET business through acquisition

Thailand’s PTT Global Chemical (PTTGC) has agreed to acquire 74 per cent of stake in PTA producer - Siam Mitsui PTA and PET producer - Thai PET Resin for a total of USD 125 million. 

The transaction is expected to complete by the fourth quarter of 2018. According to PTTGC’s President and CEO, the acquisition “is an important step for PTTGC’sto expand the downstream investment and increase market potential in polymer business direction.”

At the moment, Siam Mitsui PTA is a 50:50 joint venture between SCG Chemicals and Mitsui. Once the deal is completed, the ownership structure will be 49% by PTTGC, 25% by TOC Glycol (a subsidiary of PTTGC) and 26% by Mitsui Chemicals.

Thai PET Resin is currently 20% own by SCG Chemical and 40% each by Siam Mitsui PTA and Mitsui Chemicals. This will change to TOC Glycol holding 44.4%, Siam Mitsui PTA holding 40% and Mitsui Chemicals 15.6%.