Ineos Group Holdings to switch focus to establishing ventures in Asia and Middle East

06-Oct-10

Ineos Group Holdings Plc, the world’s sixth-largest chemical company, is switching its focus to establishing ventures in Asia and Middle East from disposals after reducing debt, Group Director Tom Crotty said. “ Debt ratios are falling “very fast” and there is no financial need to sell a stake. We are down to around 4.5 times leverage. There’s nothing serious in terms of an equity sale. There’s no financial need for us to do anything, but if it’s a strategic deal that’s good for us, then obviously we’ll take a look.” The company is looking to expand its derivatives business, and disposals have been struck off the agenda. Ineos, which owns a refinery in Grangemouth, Scotland, is still in talks with PetroChina Co. about cooperation. It is also planning to build and operate a 400,000 ton phenol plant with partner Sinopec Yangzi Petrochemical Co. Ltd. Ineos agreed to sell a fluoro-chemical unit to PVC pipe and resin maker Mexichem SA in February for US$350 mln. Ineos moved its headquarters to Switzerland to cut tax expenses. It had debt of €8.6 bln (US$11.9 bln) as of June 30.