Indorama Ventures has entered into an agreement to acquire airbag fabric supplier, UTT.
UTT is a manufacturer of airbag fabrics and other solutions in technical textiles. The company has two sites in Germany and Mexico with around 420 employees and produces 70m square metres of fabrics.
Subject to regulatory approvals, UTT will be acquired by PHP Fibres, a company owned by Indorama Ventures (80% stake) and Toyobo (20% stake).
With the acquisition, Indorama Ventures is strengthening its portfolio in the airbag sector and adds the UTT weaving sites in Germany and Mexico to the yarn production sites in Germany, the US and the JV participation in China as well as to the PHP Fibres weaving mills in Germany and America established with the expertise of Toyobo.
“We have known UTT for a long time as a loyal customer of our airbag yarns,” said Indorama CEO, Aloke Lohia.
“The expertise of UTT and the intensified exchange of experience with PHP will advance both companies and strengthen Indorama Ventures’ global position in the airbag segment.
“For the benefit of our customers, we will move closer to the users in the future in order to be able to respond better and more flexibly to the wishes of our customers, whether for yarns or fabrics.
“The acquisition also demonstrates the strategic importance of the Automotive Division for Indorama. IVL is not only focusing on tyre yarns, but also on other segments such as airbags.”
