Deepak Nitrite Limited is a diversified producer of chemical intermediates for industries such as colorants, life sciences, plastics, and construction chemicals. It operates responsibly certified facilities across India and is a member of the Together for Sustainability initiative.
Deepak Chem Tech Limited (DCTL), a wholly-owned subsidiary of Deepak Nitrite Limited, has entered into definitive agreements with Trinseo Deutschland Anlagengesellschaft mbH and Trinseo Europe GmbH (“Trinseo”) for the acquisition of Trinseo’s Polycarbonate (PC) manufacturing assets and technology license.
Acquisition Highlights
- Strategic Objective: This acquisition supports DCTL’s ambition to become an integrated PC manufacturer, strengthening its portfolio from basic building blocks to advanced materials.
- Acquired Assets: DCTL will gain Trinseo’s state-of-the-art PC manufacturing assets, including proprietary equipment in Stade, Germany, with a capacity of 165,000 metric tonnes.
- Technology License: The deal grants DCTL access to Trinseo’s PC technology license, including the CALIBRE™ resins and trademark, valued for quality and reliability in the global market.
- Relocation and Installation: The acquired assets will be moved to Dahej, India, with full setup and operational readiness planned for the fourth quarter of FY 2028.
- Investment: Approximately ₹5,000 crores will be invested, funded through a balanced mix of debt and equity, to establish greenfield infrastructure.
Strategic Benefits and Market Significance
- Boosting Domestic PC Supply: This acquisition will allow India to reduce its dependency on PC imports, which currently exceed 240,000 MT annually.
- Value Chain Integration: PC production will create a natural downstream integration for Deepak’s Phenolics value chain.
- Potential for Partnerships: DCTL and Trinseo are expected to explore partnerships in downstream compounds and complementary technologies.
About Trinseo
- Trinseo is a leading global producer of engineering polymers and compounds, with annual net sales of approximately $3.7 billion in 2023.
