Mitsubishi To Buy Out Poly Partner
Apr. 14, 1998
TOKYO (AP) _ Mitsubishi Chemical Corp., Japan's largest chemical producer, announced plans Tuesday to buy Hoechst AG's stake in three joint ventures that produce polyester film.
The deal will give Mitsubishi Chemical a 17 percent share of world polyester film output, second only to DuPont Co., said company managing director Kohsuke Kanaya.
The Japanese company will purchase Hoechst's one-third stake in Diafoil Hoechst Co. and the German firm's two-third shares of Hoechst Diafoil GmbH and U.S.-based Hoechst Diafoil Co.
The moved will give Mitsubishi Chemical 100 percent ownership of all three ventures.
The company, an arm of Japan's powerful Mitsubishi Group, did not disclose terms of the acquisitions, but a leading Japanese financial daily reported Friday that the deal is probably valued at between 10 billion and 20 billion yen ($77 million-$154 million).
Polyester film is used to make magnetic tapes and food packaging.