INEOS makes a deal with Eastman Chemical, acquiring the Eastman Texas City Site
INEOS, a chemical major based in London, announced the completion of the acquisition of Eastman’s Texas City Site. The site consists of a 600kt Acetic Acid plant along with all the third-party activities of the Eastman Chemical Company at the Texas City Site. According to David Brooks, the CEO of INEOS Acetyls, the company is delighted with the completion of this strategic acquisition. The company believes in the potential of this partnership, which will help drive the company’s global ambition and grow its business. He also mentioned that currently, the company focuses on the integration of the site, business as well and employees into INEOS Acetyls.
Earlier this year, both companies signed a Memorandum of Understanding (MoU), partnering to explore the various options available for a long-term supply agreement for vinyl acetate monomers. The deal was worth US $500 million, covering the site-carrying operations that were happening in the acetic Acid plant and all third-party activities. However, the plasticizer unit located at the Texas City site will continue to be owned by the Eastman Chemical Company but will be operated and maintained by INEOS Chemicals.
Addressing the deal, the CEO of INEOS has also mentioned that it is an ideal site that will enable the company to take advantage of the competitively priced feedstocks, which will ultimately support the growth of the business. The agreement will ensure a sustainable future for the site.
According to Procurement Resource, INEOS Company has marked the completion of its acquisition of the Eastman Texas City Site, covering the 600kt Acetic Acid plant along with all the other third-party associated activities being dealt with at the site. The strategic acquisition is expected to accelerate Acetyls’ business under INEOS, London.