Solvay, INEOS to sell more assets to get clearance for PVC deal
28/02/2014 12:31
BRUSSELS, Feb 28 (Reuters) - Belgian chemicals group Solvay SOLB.BR and France's INEOS on Friday offered to divest more factories to get clearance from European competition regulators for their proposed PVC joint venture. In May 2013, Solvay said it would combine its PVC business, which makes plastics used in pipes, window frames and vehicle interiors, with that of INEOS which would eventually take full control of the unit. The European Commission, which acts as the 28-member bloc's competition watchdog, opened an in-depth investigation into the deal, which would create the biggest PVC producer globally after Japanese rival Shin-Etsu 7970.T , with estimated sales of 4.3 billion euros ($5.84 billion). Solvay and INEOS on Friday offered to divest INEOS's factories in Germany, France, the Netherlands and several activities in Belgium. "They (the plants) have the ability to compete as successful stand-alone businesses under third party ownership," Solvay said in a statement. A source told Reuters Solvay originally wanted to sell one plant but regulators said this was insufficient because of the combined entity's market power. The European Commission would now seek feedback from rivals and customers in the European PVC market. (Reporting by Robert-Jan Bartunek, additional reporting by Foo Yun Chee; Editing by Elaine Hardcastle.) ((robertjan.bartunek@thomsonreuters.com)(+32 2 2876850)(Reuters Messaging: robert-jan.bartunek.thomsonreuters.com@reuters.net)) Keywords: SOLVAY INEOS/