INEOS Styrolution, a German supplier of styrenics, has agreed to sell its entire stake of 61.19% in INEOS Styrolution India, a publicly-listed firm, to Shiva Performance Materials, a part of the Shiva Group.

The financial terms of the deal were not disclosed.

Based in Vadodara, INEOS Styrolution India produces the resins — absolac and absolan from its manufacturing sites at Dahej, Katol, Nandesari, and Moxi.

Steve Harrington — INEOS Styrolution CEO said: “The business continues in Shiva Performance Materials’ experienced hands, serving the existing customer base and seeking future growth potential to enhance the Company’s current position in the Indian market.”

Shiva Performance Materials is a manufacturer of acrylic resins, emulsions, and resin solutions. The acquisition of the majority stake in INEOS Styrolution India will help it grow its product portfolio and strengthen its position in the acrylonitrile butadiene styrene (ABS) and styrene acrylonitrile (SAN) market in India.

The deal triggers a mandatory tender offer (MTO), and the closing is subject to fulfilling the necessary customary conditions.

Rakesh Agrawal — Shiva Group Whole Time Director and Chairman said: “We are extremely proud to acquire a majority stake in INEOS Styrolution India Limited from the INEOS Group. This transaction is highly gratifying to me personally, because I had previously led and managed its operations during 1978-2012 as a Managing Director.

“Its leadership position in the Indian ABS and SAN market will help us to cater to growing demand from automotive, consumer durables and other industries. Our vision is to carry forward the rich legacy that will be left behind by INEOS, and vigorously expand the capacities of ABS, SAN and Polystyrene over time to reduce India’s dependence on imports of ABS and SAN.”

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