News archive for February, 2013
Polyplastic Group, the Russian and CIS market leader in plastic’s processing, has today signed an agreement to acquire full ownership of Radius Systems Limited and all its subsidiary companies for an undisclosed sum.
Miron Gorilovsky, CEO of the Polyplastic Group, commented “Polyplastic is pleased to announce its first acquisition within the European Union and welcomes Radius Systems into the Group. The acquisition brings complementary technologies and innovation and reciprocal access to new markets. The strengthened group will benefit from the scale generated by the acquisition thereby creating a solid foundation for future growth”.
In 2012, Radius Systems generated net sales of over 100 MEUR and employs 370 people at their three facilities in Hilcote, Derbyshire (Group Head Office), Banbridge and Lurgan (both in Northern Ireland). The acquisition also includes the field services subsidiary Radius PLUS Limited.
Andy Taylor, CEO of Radius Systems said “the completion of this acquisition is exceptionally good news for the Radius Group and should be welcome reassurance for both our loyal employees and those suppliers who have supported the business through a tough two year period. With Polyplastic’s involvement and experience, we will be able to capitalise on being part of a substantial international Group. Our common competencies will allow us to access new market prospects and by leveraging our combined innovation, technology and scale we will deliver benefits to both our existing customers and our new owners”.
The buyers were advised by Deloittes acting from their Moscow and Birmingham offices, together with legal advice from CMS Cameron Mckenna LLP. The Birmingham based team at Ernst & Young advised the shareholders of Radius Systems, together with the Manchester based legal team at Eversheds LLP.
The UK business units will continue to trade under the Radius Systems, Radius Plastics and Radius PLUS brands.
According to PRW.com, composite manufacture in Russia has taken a big step forward following a deal between Dow and some local partners, including state-run nanotechnology corporation Rusnano, to produce composite materials and carbon fibre intermediates in the country.
The partnership, which includes Dow’s Turkish composites joint venture DowAksa, agreed to study opportunities in the areas of aerospace, infrastructure, energy, oil and gas and transportation, and to explore supplying both the Russian domestic and global markets.
The parties agreed to draw up “a comprehensive strategy” for composite production which will lead to potential investments in Prepreg-ACM and Nanotechnology Center of Composite, two Russian firms with Rusnano co-investment.
Top executives from global chemicals giant Dow, DowAksa, Rusnano and Russian composite materials producer Holding Company Composite (HCC) signed the memorandum of intent (MOI) at the 2013 World Economic Forum in Davos, Switzerland.
Signatories to the agreement included Dow chief executive Andrew Liveris, Dow Europe, Middle East and Africa president and DowAksa chairman Heinz Haller and Anatoly Chubais, Rusnano’s chief executive.
This landmark deal follows an earlier outline agreement signed by Dow and Rusnano two years ago on potential joint projects in the general areas of energy efficiency, infrastructure, lightweight materials and life sciences.
“The signing of the MOI on potential manufacturing of carbon fibre intermediates in Russia marks a significant step forward in Dow’s innovation and growth strategy.
“Collaborating with the strong local players and leveraging DowAksa capabilities, we will contribute Dow’s expertise in composites technology, formulation, and technical service, as well as global market knowledge and channels,” stated Dow’s Liveris.
The latest deal will also open the way for Rusnano’s Russian portfolio companies to do business and enter technological partnership with Dow Chemical, according to Anatoly Chubais.
“The agreement will enable our companies to spurt ahead in the rapidly evolving realm of carbon composite materials and to find new solutions to increasingly complex engineering challenges,” he said.
DowAksa is a 50:50 joint venture between Dow Europe and Turkey’s Aksa Akrilik Kimya Sanayii, a global supplier of acrylic fibres. DowAksa entered the carbon fibre business in 2009 by developing its own technology for the production of carbon fibre and carbon fibre intermediates.
“Our engagement with the Russian domestic companies will bring new investments to the Russian market and may enable the local production of high quality composite materials which are extremely valuable for downstream high-tech manufacturing.
“I believe that this collaboration will place DowAksa and Turkey in advanced materials league,” said Mehmet Ali Berkman, chairman of Dow’s Turkish DowAksa partner, also a Davos deal signatory.
Richard Higgs (PRW.com)
According to European Plastics News, Penoplex, the only manufacturer of extrusion polystyrene in Russia, plans to invest RUB 700m (€18m) in buiding a plant for the production of heat insulation materials in the Tula region.
The company will fund the project itself and the plant’s capacity will be 650,000m³ of insulation per year. It will reach full capacity by 2012.
The plant will be Penoplex’s eighth manufacturing facility, giving the firm a 60% share in the Russian insulation materials market.
The firm has six production facilities – in Kirishi, Taganrog, Novosibirsk, Perm, Khabarovsk and Cheremkhovo – and one in Kazakhstan.
Eugene Gerden (European Plastics News)
According to press-centre KuibyshevAzot JSC (Togliatti, Samara region), in 2012, due to the deterioration of price situation in caprolactam and polyamide world markets, and the decrease in production volumes due to scheduled stopping overhauls, company revenues decreased by 9.2% to EUR 698 million, net income decreased to EUR 64 million.
The output of major products was as follows:
- ammonia – 569 kt, or 87.7% comparing with the results of 2011
- ammonium nitrate – 534.8 kt (97.1%)
- urea – 308.3 kt (88.2%)
- ammonium sulfate – 469 kt (97.8%)
- caprolactam – 184.6 kt (96.1%)
- polyamide-6 – 116.7 kt(82.2%)
- technical and cord yarn – 13.5 kt (99.6%)
- cord fabric – 6.5 kt (122.8%)
In 2012 implementation of priority directions of company’s development, work on technical re-equipment and renovation of fixed production assets was continued.
There was started ammonium sulfate compaction plant. KuibyshevAzot JSC became the first Russian enterprise producing this fertilizer in a form, which fully complies with the requirements of modern agricultural technologies.
In order to improve production efficiency, increase output and reduce impact on the environment a number of serious technical measures has been taken. Ammonia shop went through modernization of syngas and air compressors, what increased reliability of their work and allowed to reduce power consumption. Nitrogen oxide emissions have been decreased. There was started a cooling system of air upstream the prilling towers fluid bed vessels at the ammonium nitrate production, resulting in growth of output in the summer period and ammonium nitrate quality.
Third soda melt crystallizing table was commissioned, what allowed to increase production of commercial soda ash significantly and reduce emissions of pollutants. Fire-fighting and signalizing systems of cyclohexanone shop were reconstructed.
Many projects are underway. Reconstruction of rectification section at the production of caprolactam has been started. Construction of treatment facilities for industrial and storm discharge of the Northern hub and Central district of Togliatti is in progress. Mounting of juice steam condensate cleaning plant in the ammonium nitrate production is coming to the end. There is a preparation for the construction of a universal complete line to increase the production of nitric acid and reduce emissions of nitrogen oxides.
There are projects aimed to ensure long-term development of KuibyshevAzot JSC and maintain market positions of the company in the face of increasing competition.
Construction of cord fabric dipping plant has been started. Designing stage is coming to the end and main contracts for the supply of the equipment for a new energy efficient production of cyclohexanone have been concluded. Negotiations on establishing of a joint ammonia production with German company Linde Group are in progress.
In accordance with the company’s strategic program on import substitution and increase of recycling of caprolactam and polyamide in Russia, subsidiary’s enterprises producing technical, textile yarn and cord fabric in Kursk and textiles fabrics in Balashov are under reconstruction.
Totally for construction and technical re-equipment was spent EUR 34.7 million, overhaul of factory facilities – EUR 49.3 million. Thus, for the modernization of the enterprise was spent EUR 83.6 million.
In 2012 company continued to implement policy ensuring social security of the personnel. In total, for social development of KuibyshevAzot JSC was spent EUR 5.1 million.
Tax deductions of the enterprise in different level budgets amounted EUR 46.7 million.