INEOS ABS (INDIA) LIMITED


The Company was originally incorporated as ABS Plastics Limited in the year 1973 then changed its name to ABS Industries Limited. The erstwhile ABS Industries Limited now INEOS ABS (India) Limited (the ‘Company’) w.e.f. June 17, 2008, is a pioneer in developing the market for the versatile engineering thermoplastic material – Acrylonitrile Butadiene Styrene (ABS) in India, when it started its operation in 1978 by manufacturing and marketing ABS polymer under the brand name of ABSOLAC. Since then the company has been continuously growing through a planned process of aggressive market development and consolidation, technology updation and capacity build up.

The company also set up India’s first modern and dedicated Styrene Acrylonytrile (SAN) plant in 1993, with technical know-how from M/s JSR, Japan for manufacture of various grades of ABSOLAN – SAN.

In early 1997, Bayer Industries Private Limited, a 100% holding company of the German major, Bayer AG acquired a majority share of 51% in ABS Industries Limited. The company then became a part of the Bayer group and was rechristened as “Bayer ABS Limited”.

In early 2004, Bayer Group globally decided carving out of styrenic-based Polymer products, beside other business, into a new group LANXESS, the said business was then globally transferred to a 100% subsidiary of Bayer AG to a Company styled as LANXESS Deutschland GmbH. Once the business operations at Bayer ABS Ltd were regrouped within the LANXESS group, LANXESS AG has become an ultimate holding Company under the spin off process.

LANXESS India Private Ltd. (which is 100% subsidiary of LANXESS AG Germany) acquired 89,63,564 equity shares of Rs.10/- each in Bayer ABS Ltd (BABS) constituting 50.97% of the paid up share capital of Bayer ABS Limited from Bayer Industries Private Ltd and became a holding Company of the Company.

Consequent to acquisition of 50.97 % share capital by LANXESS India Private Ltd. and the shareholders approval at the 32nd Annual General Meeting held on 28th April, 2005, the Office of Registrar of Companies (ROC) has approved the change of name of the Company from Bayer ABS Limited to LANXESS ABS Limited w.e.f. 29th April, 2005.

The Company is a public listed company and actively traded in National stock Exchange Limited (NSE) & Bombay Stock Exchange Limited (BSE).

The 3rd major global Chemical giant INEOS Group, approx. turnover of 45 $ Bn, entered into an agreement with LANXESS AG, Germany, to acquire world over the styrenic business (ABS) and in the process INEOS ABS (Jersey) Limited entered into an agreement with the promoters of the Company and LANXESS INDIA Pvt. Ltd. to acquire major the stake in LANXESS ABS Ltd. INEOS Group made an offer to the general shareholders through open offer, to acquire major stake in LANXESS ABS Ltd. to an agreed price stated in the open offer.

Thus INEOS ABS (Jersey) Limited, then acquired major stake constituting 83.33 % of total paid up capital, which concluded on March 5, 2008. Thus, from 13th March, 2008, INEOS ABS (Jersey) Limited, part of chemical major global group 'INEOS', held 83.33% of paid up capital comprising 14,653,705 no. of Equity Shares of the Company, became the holding Company of LANXESS ABS Ltd. and controlled the management and affairs of the Company. The office of Registrar of Companies has then granted change of name w.e.f. June 17, 2008 to INEOS ABS (India) Limited.

The company has introduced tailor-made grades in ABS, to suit specific requirements of customers who are the leading manufacturers in the field of household, automotive, electronic and telecom sector.

Some of the prominent clients of the Company include Samsung, LG, Videocon, BPL, Ford, Hero Honda, Cello, Lexi and Bajaj. With an uptrend in consumer spending on automobiles, white goods and electronic products the demand for ABS resin is growing up significantly.

With a well defined accent on quality monitors on inputs, process controls, packaging and finished products, INEOS ABS (India) Limited offers its customers an extensive range of performance thermoplastics – from its indigenous production. The range of products and the variety of grades for a given product are developed and made, to meet almost all the requirements of many sectors of the industry demanding high performance & quality.

Fuelled by the increasing worldwide demand for engineering thermoplastics, INEOS ABS (India) Limited, a public listed company in NSE & BSE has already commissioned its expansion of SAN capacity from 36,000 tpa to 65,000 tpa, which has helped increasing its capacity of ABS from 60,000 tpa to 1,00,000 tpa. This expansion to 100,000 tpa is being funded through internal accruals. The SAN polymer is being used for captive consumption for making ABS and is also being sold as merchant product.

According to Mr. Rakesh Agrawal, Managing Director of the Company “The future is in polymers. The investment in the state-of-the-art R&D facilities at Moxi is paying us rich dividends. With an uptrend in consumer spending on automobiles, white goods and electronic products the demand for ABS resin will go up significantly. We also see good scope for SAN resins.”

The Company enjoys a debt free situation today and is expected to perform well in forthcoming years. With its technological expertise and international collaboration with global leaders, the Company has always anticipated future demand and it has increased capacities steadily to meet these demands. The Company is watching eagerly the developments in China. To have quick responses to such developments the Company is also carrying out studies for a grass-root facility.