Reliance to buy Malaysian polyester firm

Reliance to buy Malaysian polyester firm

Mumbai: Indian conglomerate Reliance Industries on Monday said it will buy all the assets of Hualon, Malaysia’s leading polyester maker, for an undisclosed amount.

This deal will cement Reliance’s position as the world’s largest polyester manufacturer with a current annual capacity of 2.5 million tonnes, a company statement said.

The company said the purchase of Hualon, an 18-year-old firm that makes polyester fibre and textiles, adds half a million tonnes of annual capacity for Reliance, which also has interests ranging from petroleum refining to grocery stores in India.

“The integrated assets of Hualon will help Reliance strengthen its position in the textile value chain. Reliance now graduates to a solution provider to the global textile industry," Mukesh Ambani, chairman of Reliance Industries said.

Reliance shares rose Rs27.6 or 1.41% to 1,989 in noon trade following the announcement while the benchmark 30-share Sensex index was down 35.19 points or 0.23% at 15,555.23.