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About the Company

INEOS Styrolution India Limited (INEOS or the Company) is the number one producer of Absolac (ABS) and Absolan (SAN) in India. In simpler terms it makes intermediates and chemicals that are used for manufacturing various products in many industries.The Company is an ultimate subsidiary of INEOS, a privately owned multinational chemicals company headquartered in London, UK.

ABS is a plastic resin produced from acrylonitrile, butadiene and styrene, used for manufacturing home appliances, automobiles, consumer durables and machinery. Absolan® (SAN) is a polymerized plastic resin produced from styrene and acrylonitrile. It is mainly used for products such as lighting, stationery, novelties, refrigerators and cosmetic packing.

Leading Player in an Expanding Market

Ineos Styrolution, the parent company of Company was established in the year 2011 in Germany and in quick has become the global leader in styrenics. Market research analysts at Technavio predict that in terms of volume, the global styrenics market will grow steadily at a CAGR of close to 5% by 2021. The current market size of Styrenics is over U.S. $ 100,000 million.

As the world evolves and embraces new technologies to make lives simpler, processes smoother, machines more efficient, gadgets sleeker and the environment safer, styrenics products are drawing global attention as a preferred product of choice to drive business and functional needs.

The Company has 1000+ registered patents, 4000+ customers and 1500+ products. The Company is launching an array of product options, each with unique capabilities,to help customers and consumers with desired solution across diverse market segments.

Strong Financial Position – Debt Free Company with Low Equity Base

The Company operates with negligible debt on its books and has grown overall revenue at an impressive CAGR of ~ 9%.

*Note: there was a change in financial year from December to March in FY 2014

Total equity is split into 1.76 crore shares out of which, public holding is only 44 lac shares.

Capacity Expansion to Boost Volumes as Demand Picks up

In August 2017, the Company announced its plans to increase its compounding capacity for engineering plastics by an additional 34,000 metric tonnes per annum at its Moxi plant located in Gujarat, India. Expected for completion by June 2019, this expansion will grow the Company’s compounding capacity to 100,000 metric tonnes per annum at the site.

This expansion will involve a capital expenditure of US$20 million (Rs. 130 Cr.), which also includes the upgrading of site infrastructure. Additionally the company has sanctioned a detailed engineering study to evaluate doubling the overall production capacity for ABS in India over the next years. The planned capacity expansion intends to meet the growing demand for styrenic polymers across key growth industries in India. Over the last few years, the company has made investments to expand its styrene acrylonitrile copolymer (SAN) and rubber plant capacity. The new Absolan line augments Styrolution’s current 60kt/annum production capacity in  India taking the total annual production capacity to 100kt/annum.

Strong Parentage

Ineos is a part of Ineos Styrolution Group GmbH, a leading global styrenics supplier. Ineos’ strong parentage (a global leader in styrenics) is expected to ensure that the Company offers best products and solutions to customers giving it a competitive edge in the markets.

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Rajat Sharma

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