Mitsubishi Chemical to Acquire Hoechst Interest in Polyester Film Joint Venture

Hoechst has announced plans to sell to Mitsubishi Chemical Corp. (MCC) its equity interest in the companies' eight-year-old Diafoil joint venture to produce polyester films. Included in the transaction are facilities in Greer, S.C. and Wiesbaden, Germany, as well as facilities in Japan and Indonesia.

Under the terms of a signed letter of intent, Hoechst will transfer its interest in the joint venture's three companies (Hoechst Diafoil Corp. in the United States, Hoechst Diafoil GmbH in Germany and Diafoil Hoechst Co., Ltd., in Japan) at the earliest possible date, subject to conclusion of final agreements and required government approvals. Financial details of the transaction were not disclosed.

As a result of the acquisition, MCC will become the sole owner of the polyester films producer, which is headquartered in Tokyo. Industries served by the company range from packaging, electrical and capacitor to imaging and magnetics. Hoechst is selling its interest in the films joint venture - currently part of its Trevira polyester business - to help meet its strategic goal of becoming a life sciences company.

Edited by Beth Brindle