3/8/2000

Wacker and Celanese to spin off PVC

Wacker-Chemie GmbH, Munich, and Celanese AG, Frankfurt/Main, have signed a letter of intent to sell their 50% stakes in Vinnolit Kunststoff GmbH, Ismaning (Germany). Celanese subsidiary Celanese Chemical Europe GmbH is also selling its stake in Vintron GmbH, Knapsack (Germany). The private equity firm Advent International Corp. plans to acquire both companies. The transaction is expected in the next two months.

Vinnolit is one of Europe's leading PVC producers with annual capacity of 570,000 metric tons. Vinnolit was founded as a 50:50 joint venture in 1993 when Wacker-Chemie GmbH and Hoechst AG combined their PVC activities. Vinnolit is cooperating with Vintron, which has started expanding vinyl chloride capacity, to create a cost-optimized value-added chain that will greatly boost its competitive edge.

Advent International is a leading private equity firm which advises institutional funds. It was founded in 1984 and currently has around US$ 3.5 billion under management. Advent and its institutional funds have financed more than 400 companies in a variety of industries worldwide.

Wacker-Chemie is exiting the PVC sector after almost 65 years. The spin-off is part of its strategy to focus on core businesses: polymers and fine chemicals, hyperpure silicon for semiconductors, silicones and ceramic materials.

For Celanese AG, the planned sale marks the end of a strategic withdrawal from inorganics.

Your contact:

Wacker-Chemie GmbH Celanese AG
Peter Hirschmann Dr. Hans-Bernd Heier
Phone +49-89-6279-1165 Phone + 49-69-305-7112
Fax +49-89-6279-1239 
 Phillip Elliot
 Phone +49-69-305-33480
 Fax +49-69-305-84160