Indorama acquires Oxiteno, a surfactant manufacturer, for US$1.3 billion

On August 16, Thai chemical giant Indorama Ventures agreed to acquire Oxiteno, a surfactant manufacturer from Brazil's Ultra Group, for US$1.3 billion. The transaction is expected to be completed in the first quarter of 2022.

Indorama said the acquisition will give it a "unique portfolio" of high-value surfactants and significantly expand the company's newly created oxide and derivative (IOD) integrated business. IOD downstream product portfolio includes surfactants, propylene oxide, propylene glycol and ethylene oxide.

Oxiteno is a surfactant manufacturer for Latin America, with locations in Camacari and Trienfo in Moa, Brazil, Xhosa Cocos in Guadalajara, San Juan del Rio, Mexico, and Monte Carlo, Uruguay. Vidya, Santa Rita, Venezuela, and Pasadena, Texas, USA have production plants.

In 2019, Indorama acquired Huntsman's chemical intermediates and surfactant business for US$2 billion. Indorama said that Oxiteno plus the assets acquired from Huntsman, together with Indorama's traditional polyethylene terephthalate (PET) commodity business, constitute the main profit growth point of the IOD business sector.