thai-based chemical firm indorama targets higher revenue, plans $5.5 bln investment - pet resin
* Plan to make a $4 bln investment in packaging, chemicals, olefin business within four years * target revenue growth of Bangkok Chayut Setboonsarng by 25% in 2019, February 27 (Reuters)-
Indorama Ventures aims to grow revenue by 25% to 2019 and plans to invest $5.
5 billion will further develop its fiber, chemicals and upstream business in the next four years, CEO of Thailand-
The company, based on Wednesday, said.
The company plans to split its investment budget of $4 billion into the packaging, chemicals and olefin business unit with the goal of doubling the pre-interest, tax, depreciation and amortization earnings (EBITDA)
By 2023, it had increased from $1 to $3 billion.
4 billion on 2018, Aloke Lohia told Reuters.
In addition to the $1 capital expenditure promised by the company, this investment plan is the same.
5 billion, he added.
The production of polymer PET resin for the manufacture of plastic bottles is the main business of Indorama.
It also produces fibers used in products such as safety belts and tires and, to a lesser extent, produces olefin raw materials for PET resin.
The long film of Indorama
The word "strategy" is "to increase the size of other polymers by packing and fiber, to swim up when the size is large enough" to meet the company's fixed olefin needs, loya said in an interview.
Lohia said Indorama, which lists Nestle, German carmaker Audi and Swedish furniture retailer IKEA as one of its customers, sees Africa as a growth market.
Known for its global M & A, Dolama bought a pet factory in Egypt last year and in Nigeria this month to meet the growing demand for bottles from its customers, Coca
Coca-Cola and Pepsi are expanding in these markets.
The company currently earns about 40% of its revenue from North America and 30% from Europe, with sales reaching $10.
In 2018, it was 7 billion per cent, up 27% per cent year on year.
"Its business is dynamic and has been doing mergers and acquisitions and enhancing its portfolio," said Suwat Sinsadok, senior executive vice president of Finansia Syrus Securities . ".
Lohia, 60, established Indorama in Thailand in 1994 with about 200 employees, and since then the company has employed 18,000 employees in 31 countries.
However, as people's preferences for the ecosystem continue to increase, the company may face adverse factors
Friendly products, especially in its key markets, prompt customers to abandon the singleuse plastics.
Analysts say the company has a recycling business, but it is costly and may be more difficult to expand.
Lohia notes, however, that Indorama is already a key role in the recycling space and is working with downstream customers to get more recycled products and creaturesrenewables.
The CEO also shrugged off rumors that the Lohia family had more than 60% stake in Indorama, saying "We clarified that this is not the case ".
Due to the closure of unplanned European factories, Dolama's fourth-quarter rumors and worries will weaken, causing its share price to fall by 11% in January. (
Report from Chayut Setboonsarng;
Edited by Himani Sarkar)