Date:14/01/2005 URL: http://www.thehindubusinessline.com/2005/01/14/stories/2005011401660200.htm

Back Reliance acquires SM Dyechem's glycol unit

Our Bureau

Mumbai , Jan. 13

RELIANCE Industries Ltd on Thursday said it has bought assets of SM Dyechem's glycol division from IDBI. The company did not say what price it paid for acquiring the assets of the 80,000 tpa glycol plant.

Reliance Industries plans to get the plant re-commissioned shortly, a news release said.

The acquisition will make RIL world's fifth largest mono ethylene glycol (MEG) producer.

This will take up RIL's MEG capacity to 8.32 lakh tonnes a year from 7.52 lakh tonnes a year at six locations across Gujarat and Maharashtra. This includes the capacity of IPCL.

IDBI sold the glycol division of SM Dyechem, which has been shut since 1996, under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. The company had stopped paying its secured creditors.

Reliance will produce MEG from alcohol for the first time at its newly acquired glycol plant.