Thai Plastic and Chemicals Public Company limited (TPC), the largest PVC product producer in Southeast Asia, through its wholly owned subsidiary, Nawaplastic Industry Saraburi Co (NPI), has successfully acquired a stake of 20.83% in the largest manufacturer and distributor of plastic piping in south Vietnam, Binh Minh Plastic JSC (BMP), for US$20 million.
Thai Plastic and Chemicals Public Company limited operates as a manufacturer and distributor of PVC (polyvinyl chloride) products. The company produces and sells PVC resin, which is a raw material used for further production processes. It has two domestic factories and overseas operations in Vietnam and Indonesia.
Following this transaction, NPI becomes the second largest shareholder of BMP after State Capital Investment Corporation (SCIC). The acquisition is in line with the company's strategy to expand into the downstream segment to cope with the volatility of PVC prices.
BMP produces and sells plastic pipes and fittings in Vietnam, mainly in South Vietnam. The company has a nationwide distribution network of 630 stores in the south and 65 in the north of the country.
Oaklins' team in Thailand was appointed as the exclusive financial advisor to the buyer.
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