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Everchem Updates
VOLUME XXI
September 14, 2023
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January 11, 2019
Magna acquires Spanish company Viza Geca
Magna has agreed to acquire Viza Geca SL of Spain, which operates four production facilities and had sales of EUR 125 million in 2017. The acquisition is expected to close by the end of the first quarter 2019, pending regulatory approval.
Magna will take over Viza’s four facilities and more than 1,100 employees (Source: Magna)
Viza, with current customers including VW, PSA and Renault Nissan, brings seat-structure expertise and a portfolio of products including patented floor-latch systems and foldable seats. The company’s 73 years of expertise is expected to help Magna further develop reconfigurable seating solutions in the new mobility landscape.
“We have been strategic and deliberate in growing our seating business, especially with our structural products, which require higher levels of capital investment,” said Mike Bisson, President Magna Seating. “Viza’s deep expertise and footprint give us added support to grow, especially in Europe, and strengthen our competitive position.”
The acquisition of Viza will strengthen Magna’s seating capabilities (Source: Magna)
Once the deal is approved, Magna will take over Viza’s two facilities in Europe (Spain and Czech Republic), as well as one in each of Morocco and Mexico, and will welcome over 1,100 employees. Magna’s seating business currently includes six R&D centres and 50 manufacturing operations around the globe.
https://www.gupta-verlag.com/news/industry/22378/magna-acquires-spanish-company-viza-geca
January 11, 2019
Recticel divests from its Proseat Joint Venture in two steps
Recticel announced that it has entered into final agreements whereby it will first acquire the remaining 49 % in its Proseat automotive moulded seat foam joint venture from its Canadian partner Woodbridge Foam Corporation, and subsequently sell 75 % in Proseat to Japanese public company Sekisui Plastics Co., Ltd.
According to the company, the new joint venture between Sekisui (75 %) and Recticel (25 %) will allow Proseat to further expand its customer base and its product portfolio. The agreement between Recticel and Sekisui contains a call option for Sekisui Plastics Co., Ltd. to acquire the remaining 25 % in Proseat from Recticel as from 2019, and a put option for Recticel to sell its remaining 25 % in Proseat to Sekisui as from 2022, at pre-agreed price calculation formulae. Under the terms of these agreements, the Proseat Joint Venture has been valued at an enterprise value of 8.4x the average (2016 – 2018 F) EBITDA. Both transactions (i.e. Recticel/Woodbridge and Recticel/Sekisui Plastics Co. Ltd) are expected to be closed in the course of the first quarter of 2019, and are subject to customary closing conditions, including regulatory approvals.
Proseat was established in 1999 as a joint venture between Recticel (51 %) and Woodbridge (49 %) with the purpose to serve Tier 1 and OEM car manufacturers with moulded seat pads and head- & armrests in polyurethane. Later the joint venture developed complementary activities in lightweight EPP (expanded polypropylene) structural parts for the same automotive sector. The joint venture is active in Europe, headquartered in Mörfelden, Germany, and operates eight manufacturing sites located in the Czech Republic (1), France (1), Germany (2), Poland (2), Spain (1) and the United Kingdom (1) and employs approximately 2,100 people in total. Proseat realised sales of EUR 291 million in 2017.
www.recticel.com
www.sekisuiplastics.com
www.woodbridgegroup.com
https://www.gupta-verlag.com/news/industry/22377/recticel-divests-from-its-proseat-joint-venture-in-two-steps
January 11, 2019
Recticel divests from its Proseat Joint Venture in two steps
Recticel announced that it has entered into final agreements whereby it will first acquire the remaining 49 % in its Proseat automotive moulded seat foam joint venture from its Canadian partner Woodbridge Foam Corporation, and subsequently sell 75 % in Proseat to Japanese public company Sekisui Plastics Co., Ltd.
According to the company, the new joint venture between Sekisui (75 %) and Recticel (25 %) will allow Proseat to further expand its customer base and its product portfolio. The agreement between Recticel and Sekisui contains a call option for Sekisui Plastics Co., Ltd. to acquire the remaining 25 % in Proseat from Recticel as from 2019, and a put option for Recticel to sell its remaining 25 % in Proseat to Sekisui as from 2022, at pre-agreed price calculation formulae. Under the terms of these agreements, the Proseat Joint Venture has been valued at an enterprise value of 8.4x the average (2016 – 2018 F) EBITDA. Both transactions (i.e. Recticel/Woodbridge and Recticel/Sekisui Plastics Co. Ltd) are expected to be closed in the course of the first quarter of 2019, and are subject to customary closing conditions, including regulatory approvals.
Proseat was established in 1999 as a joint venture between Recticel (51 %) and Woodbridge (49 %) with the purpose to serve Tier 1 and OEM car manufacturers with moulded seat pads and head- & armrests in polyurethane. Later the joint venture developed complementary activities in lightweight EPP (expanded polypropylene) structural parts for the same automotive sector. The joint venture is active in Europe, headquartered in Mörfelden, Germany, and operates eight manufacturing sites located in the Czech Republic (1), France (1), Germany (2), Poland (2), Spain (1) and the United Kingdom (1) and employs approximately 2,100 people in total. Proseat realised sales of EUR 291 million in 2017.
www.recticel.com
www.sekisuiplastics.com
www.woodbridgegroup.com
https://www.gupta-verlag.com/news/industry/22377/recticel-divests-from-its-proseat-joint-venture-in-two-steps
January 9, 2019
PROPYLENE EXPECTED TO COME DOWN MORE IN Q1
As US PGP spot prices firmed to a yearly high of 68.50 cents/lb ($1,510/mt) in January, so too did US PP homopolymer injection export spot levels, moving to a H1 2018 high of $1,709/mt (77.52 cents/lb) FAS Houston, according to S&P Global Platts data. It was not until early August, that US PP spot prices would peak for 2018 at $1,720/mt FAS Houston, as PGP spot levels reached the low 60s cents/lb range amid propane dehydrogenation production issues.
PGP spot and contract prices began to come down in Q4 2018 as PDH units begin operating normally and building domestic inventory levels back up, which in turn led PP pricing down.
Interest for US PP exports did not emerge until December 2018, however, as PGP fell to a yearly low of 36.75 cents/lb. Trade participants said the renewed interest in US PP in December was due to weaker feedstock costs, but also due to some producers looking to sell off material ahead of the US ad valorem tax deadline on December 31. The lower PGP prices led PP market discussions to a yearly low of $1,147/mt FAS Houston late December.
https://www.spglobal.com/platts/en/market-insights/latest-news/petrochemicals/010919-h1-outlook-us-polypropylene-to-depend-on-propylene-direction?utm_source=twitter&utm_medium=social&utm_content=news&utm_term=we-pet&hootpostid=88a642b8f13ecc5b6b123a03a2736dbd
January 9, 2019
PROPYLENE EXPECTED TO COME DOWN MORE IN Q1
As US PGP spot prices firmed to a yearly high of 68.50 cents/lb ($1,510/mt) in January, so too did US PP homopolymer injection export spot levels, moving to a H1 2018 high of $1,709/mt (77.52 cents/lb) FAS Houston, according to S&P Global Platts data. It was not until early August, that US PP spot prices would peak for 2018 at $1,720/mt FAS Houston, as PGP spot levels reached the low 60s cents/lb range amid propane dehydrogenation production issues.
PGP spot and contract prices began to come down in Q4 2018 as PDH units begin operating normally and building domestic inventory levels back up, which in turn led PP pricing down.
Interest for US PP exports did not emerge until December 2018, however, as PGP fell to a yearly low of 36.75 cents/lb. Trade participants said the renewed interest in US PP in December was due to weaker feedstock costs, but also due to some producers looking to sell off material ahead of the US ad valorem tax deadline on December 31. The lower PGP prices led PP market discussions to a yearly low of $1,147/mt FAS Houston late December.
https://www.spglobal.com/platts/en/market-insights/latest-news/petrochemicals/010919-h1-outlook-us-polypropylene-to-depend-on-propylene-direction?utm_source=twitter&utm_medium=social&utm_content=news&utm_term=we-pet&hootpostid=88a642b8f13ecc5b6b123a03a2736dbd
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