One of the largest PET recyclers in Northern Europe backed by INVL Baltic SeaGrowth Fund acquires Czech fibre producer
PET Baltija, one of the largest PET recyclers in Northern Europe, announced an agreement to acquire a leading Czech fibre producer Tesil Fibres s.r.o, a spin-off of Silon s.r.o. Once closed, this transaction will become one of the largest investments by a Latvian company in the Czech Republic to date.
This vertical integration transaction will subsequently increase PET Baltija’s current revenues by more than 50% while also making it an international company. For Silon, the transaction will enable it to fully focus on both the production and development of the highest quality polyolefin-based performance compounds.
Fibre production has been part of the traditional operations in Planá, Czech Republic dating back to 1966, and being integral part of Silon s.r.o. The operations spun-off to Tesil Fibres encompass country-leading annual staple fibre production capacities of 33 000 tonnes and c. 150 employees. Tesil Fibres is a primary supplier to the European market, covering industries and sectors that include automotive, hygienic, textile and furniture. It is also well known for its high quality standards and last year its fibre division recorded sales of €27 million.
Both, Silon and PET Batlija emphasise that part of this agreement is a detailed handover plan, primarily targeting and ensuring that there will be no changes to the current service offering that highly valued partners, customers, suppliers, employees or other key stakeholders receive.
