Basell Australia (Holdings) Pty. Ltd. will sell its wholly owned subsidiary, Shorko Australia Pty. Ltd., to Moplefan SpA of Milan, Italy.
Wodonga, Australia-based Shorko is the largest manufacturer of biaxially oriented polypropylene film in Australia. The film is designed to extend the shelf life of perishable packaged products. The Wodonga plant has annual production capacity of about 44 million pounds.
A spokeswoman for Melbourne-based Basell said the sale is subject to due diligence, completion of agreements and regulatory approvals. She said the transaction will enable Shorko to continue to develop its BOPP film business as part of a group fully dedicated to that business.
Moplefan manufactures and distributes BOPP film internationally. It operates six plants in Italy, Belgium and Israel, with a total annual capacity of about 290 million pounds. Moplefan is 80 percent owned by Haifa, Israel-based Dor Chemicals Ltd., and 20 percent by Basell NV of Hoofddorp, the Netherlands.
Applied Extrusion Technologies Inc., based in Peabody, Mass., had announced it would pay $220 million to buy Moplefan in 1998, but the agreement fell through later that year.