ARLANXEO Canada and Diamond Petrochemicals Canada Corporation (“DPCC”), a subsidiary of Japan’s Mitsubishi Corporation, announce the execution of an agreement between the companies, where ARLANXEO will sell its olefins business to Mitsubishi.
Closing is Expected in 1st Half of 2021
ARLANXEO’s olefins business produces butadiene and raffinate, and is located at the Bio-Industrial Park Sarnia in Ontario, Canada. Mitsubishi expects to continue operations in Sarnia, with existing olefins employees transferring from ARLANXEO to Mitsubishi. While the olefins business no longer fits in with ARLANXEO’s strategic focus, ARLANXEO and Mitsubishi are confident that under Mitsubishi’s ownership, the business will develop and grow in the future.
The transaction is subject to customary closing conditions, including required regulatory approvals. Closing is expected in 1st half 2021.
ARLANXEO is one of the world’s largest producers of synthetic rubber and a wholly owned subsidiary of Saudi Aramco. ARLANXEO develops, produces and markets high-performance rubbers with sales of around EUR 3 billion in 2019 with a presence of more than 12 production sites in 9 countries, and 5 technology centers around the world. Its products are used for a wide range of applications: from the automotive and tire industries to the electrical, construction and oil and gas industries.