DLA Piper advises INEOS Phenol on its acquisition of Mitsui Phenols Singapore for USD330m

DLA Piper has advised INEOS Phenol, the world’s largest producer of phenol and acetone, on its acquisition of Mitsui Phenols Singapore Pte. Ltd. (“Mitsui Phenols”) from Mitsui Chemicals, the leading Japanese chemicals manufacturer, for a total consideration of USD330m. Subject to regulatory approval, the deal is expected to complete in Q1 2023.

The transaction comprises the entire asset base from Mitsui Phenols on Jurong Island, Singapore and will enable INEOS Phenol to add one million tonnes of production capacity of chemicals including cumene, phenol, acetone, alpha-methylstyrene and bisphenol every year. Global demand for phenol and acetone continues to grow year on year.

Mitsui Phenols Singapore Ltd has been operating since 1999. It currently has a turnover of USD750 million, employs 120 people and produces over one million tonnes of chemicals each year. The transaction presents significant integration opportunities for INEOS Phenol with its existing manufacturing operations in Germany, Belgium and the US.

DLA Piper Corporate Partner Katherine Chew, who led the transaction, commented, “We are delighted to advise INEOS Phenol on this significant transaction. The strategic addition of a prime manufacturing facility in Southeast Asia complements our client’s asset portfolio, enabling it to serve its global customers even better, while also providing an opportunity to expand into new markets.”

The DLA Piper team was led by Katherine Chew, with support from Ying Chern Tan, Senior Associate, Corporate, both based in Singapore. Corporate Partner Masahiko Ishida, and Yuji Shimda, Associate, Corporate, both based in Tokyo, Japan, also provided assistance with further support from Jonathan Watkins, Corporate Partner based in Manchester, UK.