Clariant, a specialty chemical company, and India Glycols Limited (IGL), a leading manufacturer of green technology-based chemicals, have announced a strategic partnership to establish a 51-49 per cent joint venture in renewable ethylene oxide (EO) derivatives.
By combining production and distribution capacity, the joint venture is expected to become a leading supplier of renewable materials to the rapidly growing consumer care market in India and neighbouring countries, while providing Clariant the ability to leverage the EO derivatives globally across the home care, personal care and industrial applications segments of its Industrial and Consumer Specialties business. The partnership is subject to customary regulatory approvals.
Under the terms of the proposed agreement, India Glycols will contribute its renewable Bio-EO Derivative business to the joint venture, which includes a multipurpose production facility including an alkoxylation plant located in Kashipur, Uttarakhand. In return, Clariant will contribute its local Industrial and Consumer Specialties business in India, Sri Lanka, Bangladesh and Nepal.
Christian Vang, Global Head of Clariant’s Business Unit Industrial & Consumer Specialties, added: “By partnering with India Glycols, Clariant will become one of the established players for ethylene oxide derivates in India and provide products on a renewable basis. By working closely together and leveraging the unique capabilities of both parties, we see opportunities for profitable growth based on strong local organic demand as well as the global megatrend for renewable products.” At its inception, the joint venture will have approximately 200 employees.
By partnering with India Glycols, Clariant will become one of the established players for ethylene oxide derivates in India and provide products on a renewable basis