EU Extends Approval Deadline for Solvay and Ineos Vinyls JV
The European Commission has extended until Nov. 5 its deadline to decide on approval of the planned PVC joint venture of Solvay and Ineos. In May of this year, the two companies signed a letter of intent to merge their assets into a 50:50 jv, which Solvay said it would exit in due course.
While the Commission declined to comment on what competition concerns it may have, news reports quoting people familiar with the matter said the potential partners are proposing to divest production facilities for the polymer as well as its feedstock vinyl chloride monomer (VCM) in Schkopau and Wilhelmshaven, Germany. Even after shedding these asset, the joint company would still be Europe's largest PVC producer.
Vestolit, the now private equity-owned former Evonik group subsidiary, is rumored to be interested in the Schkopau assets.