SVIT, SLOVAKIA — Slovakian plastic packaging manufacturer Chemosvit AS has acquired a leading Ukrainian polypropylene and polystyrene film producer, Lutskplastmass.
Under the deal, Chemosvit bought 50 percent of the Lutskplastmass stock plus one share in the enterprise for $100,000 through a noncommercial tender. The Slovakian firm agreed to invest $4 million in the Ukrainian enterprise over three years.
The government of Ukraine, which formerly was part of the Soviet Union, still owns a 41.5 percent share in Lutskplastmass, of Lutsk, Ukraine. Chemosvit of Svit produces flexible packaging sheet and foils, single and multilayer cast foils, biaxially oriented PP film and PP textile filament yarn. It exports to Poland, Switzerland, Germany and the Netherlands. The Slovakian firm, founded in 1934, began producing PP film in 1978 and was finally privatized to form a joint stock firm in 1994.
Chemosvit has imported raw materials, including polyethylene and PP, from Germany, Austria, Poland, Italy and the Netherlands.