The European Union´s competition authority has approved the acquisition of Solvay´s Industrial Foils business (Brussels / Belgium; www.solvay.com) by Renolit (Worms / Germany; www.renolit.com). The agreement includes activities relating to the production, marketing and sales of plastic foils. The agreed value of the transaction is EUR 330m. The deal is expected to be finalised over the next few weeks.

Approval was granted subject to conditions relating to the divestment of two Solvay production units serving the market for vinyl flexible technical foils. These products are used, among other applications, for the manufacturing of stationery products, self adhesive tapes and stickers, packaging items or cinema screens. The affected units are located at Liancourt, France and Enkhuizen, The Netherlands and employ around 300 out of a total of 2,200 active across the businesses covered by the sales agreement between Solvay and Renolit.

Heinz Gärtner, Renolit chief executive said: "Proposing the remedies in question was a painful decision. Nevertheless the transaction is still serving Renolit´s strategic objectives. Renolit has been following a clear expansion strategy for years, both by regional acquisitions and organic growth. The Solvay foils activities are considered by Renolit as a platform for strategic development targeting further growth and coherent diversification." He added that the businesses offer complementary products, geographical coverage and work in research and development.