Volume 41, Issue 2 February 2006
NSG-Pilkington Talks Continue
Talks of a Pilkington “takeover” by Japan’s Nippon Sheet Glass (NSG) have once again emerged. Press time reports, according to sources, said NSG was planning an offer of more than $3.5 billion (USD). Reuters of London said, though, that the talks could still fall apart or the timetable change as the two companies continue to “haggle” over the sale price, as well as other issues.
In December Pilkington had rejected an offer from NSG worth 158 pence a share ($2.68 USD). NSG already owns 20 percent of Pilkington.
At press time, neither company could be reached for comment.
Solutia to Buy Out ItsMexican Joint Venture Partner
Solutia Inc., a producer and seller of polyvinyl butyral (PVB) interlayers, has reached an agreement with Vitro Plan S.A. de C.V. to purchase Vitro Plan’s 51 percent stake in its joint venture with Solutia, known as Quimica M, S.A. de C.V. As a result, Solutia will become the sole owner of Quimica M.
Additionally, Solutia and certain affiliates of Vitro Plan will be entering into agreements under which Solutia will supply those Vitro affiliates with 100 percent of their requirements for Saflex® and Vanceva® PVB interlayer products.
The purchase and the related transactions are subject to bankruptcy court approval, the approval of the parties’ respective boards of directors and the Mexican Competition Commission.
The Quimica M joint venture produces PVB interlayers at a plant in Puebla, Mexico. The interlayers are used by major glass producers such as Vitro to make laminated glass for use in automobiles and buildings.
“One of the basic tenets of our reorganization strategy is to improve our asset portfolio. This acquisition, in addition to the recently announced construction of our Laminated Glazing Interlayers (LGI) plant in Suzhou, China, significantly enhances the strategic position of our LGI business,” said Jeffry N. Quinn, president and chief executive officer of Solutia Inc.
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