PET Baltija (Jelgava, Latvia; www.petbaltija.lv), by its own account one of the largest PET recyclers in Northern Europe, said it has signed an agreement to acquire Tesil Fibres from parent Silon (Sezimovo Ústí, Czech Republic; www.silon.eu), which in future plans to focus more fully on the production of polyolefin-based performance compounds.

The acquisition is said to be one of the largest investments by a Latvian company in the Czech Republic to date and is set to boost PET Baltija’s revenues by more than 50% to over EUR 100 mn.

Tesil Fibres reportedly posted sales of EUR 27 mn last year with a staff of around 150. It was spun off along with Silon’s staple fibre production facilities and has a capacity of 33,000 t/y. The company supplies various European industries, including automotive, hygiene, textile, and furniture.

PET Baltija claims to have the largest market share in the Baltic states and a share of 2% in the European market. It is a subsidiary of waste management group Eco Baltia (Riga, Latvia; www.ecobaltia.lv) and part of the investment portfolio of the INVL Baltic Sea Growth Fund, which announced an increase in PET reclaim capacity and further acquisitions on behalf of the Latvian company.

Related: Eco Baltia unit Nordic Plast invests to boost capacity