Petronas Chemicals Group Berhad has announced that it had completed the RM10.5 billion acquisition of Swedish chemical firm Perstorp Holding AB.
PCG signed a Securities Purchase Agreement with Financière Forêt S.à.r.l, a company under PAI Partners, a European private equity firm, to acquire the entire equity interest in Perstorp, which is said to a leading sustainability-driven global specialty chemicals company based in Sweden.
Commenting on the completion, PCG Managing Director/ Chief Executive Officer, Ir. Mohd Yusri Mohamed Yusof said “The acquisition is part of our stepping-out strategy, creating a new platform for our growth in the specialty chemicals industry. It also goes beyond earnings potential; Perstorp is a strategic fit with similar values and a talented workforce who are experts in the industry.”
“This will accelerate the next phase of growth and further strengthen us as a leading specialty chemicals company,” said Perstorp’s President and CEO Jan Secher.
Moving forward post-acquisition, PCG intends to continue preserving and growing the value of Perstorp, as the next few years will be a crucial chapter for both companies. Among the major development plans include the expansion of Perstorp’s global presence by strengthening its position in the Asia Pacific markets through PCG’s industrial know-how and tapping into its substantial customer base.
Perstorp has several projects lined up in the near future, including the launch of Project Air which aims to reduce carbon emissions through the production of sustainable methanol. Recently, The European Union Innovation Fund selected Project Air, as one of 17 largescale green tech projects, which together will be granted more than EUR1.8 billion. Project Air is a game-changer for the chemical industry, moving from fossil raw materials to recycled and bio-based feedstock, thereby enabling sustainable chemical products to a large variety of industries and end products. At full capacity, it will reduce global CO2 emissions by close to 500,000 tonnes per year from today’s levels, corresponding to one percent of current emissions in Sweden.