Bangkok, Thailand-based petrochemical producer Indorama Ventures PCL will acquire automotive-fiber producer Performance Fibers Asia, including all of its Asian manufacturing operations and the right to continue using the name Performance Fibers. Indorama acquiring the business from an affiliate of private investment firm Sun Capital Partners Inc. Terms of the deal were not disclosed, though its closing is expected in the next three months subject to customary regulatory approvals.
Performance Fibers Asia produces tire fabrics and is the second largest production facility of its kind in China. Asia is the largest and fastest-growing market for tires globally, accounting for more than 50 percent of global tire demand in 2013.
Performance Fibers businesses in Europe and the Americas will continue to operate separately under the ownership of Sun Capital and the leadership of the existing management team in those regions.