Ineos Group has agreed to sell its global films business to India's Bilcare Ltd. for about $132 million.
The deal which is to take place under German law between subsidiaries Ineos Films AG of Staufen, Germany, and newly formed Bilcare AG will include only the films unit of Lyndhurst, England-based Ineos. The group's PVC compounds and Barex resin units will continue to operate as part of Ineos, spokesman Richard Longden said in an Aug. 4 telephone interview. Barex has a plant in Lima, Ohio.
The Ineos Films business is no longer core to the Ineos Group as the company focuses its attention on its large-scale petrochemicals businesses, Ineos CEO Iain Hogan said in an Aug. 2 news release.
Ineos Films manufactures products for pharmaceutical blister packaging; films for printing and decoration; films for thermoformed packaging; shrink film for sleeves, capsules and credit cards; and specialty films.
The business employs around 1,300 at manufacturing sites in Staufen, BÃ¶tzingen, and Weissandt-GÃ¶lzau, Germany; Castiglione Olona and Fucine di Ossana, Italy; Nasik and Thane, India; and Delaware City, Del.
According to Longden, the unit produces around 120 tons of films annually and has yearly sales of about $316 million.
Pune, India-based Bilcare offers pharmaceutical packaging, and research, global clinical-trial supplies and services, and anti-counterfeiting technology. Its facilities are in India, Singapore, the U.S. and the United Kingdom.
A source at Bilcare would not comment on whether there are any plans to downsize the North American workforce as a result of the Ineos acquisition. The source said that historically Bilcare has upgraded equipment and added personnel as it acquired properties, while leaving local management in place.
The Ineos-Bilcare deal is expected to be completed at the end of August, subject to necessary regulatory filings and approvals. Meanwhile, Heinz Gaertner has been appointed executive chairman of Bilcare AG in Germany.
Ineos reported about $47 billion in 2009 sales. It employs about 16,000 at 64 plants in 14 countries.
Founded in 1995, Bilcare has annual sales of about $62 million. It employs 500. Its Bilcare Inc. unit is based in Phoenixville, Pa.