MOL Group has, after attaining customary transaction approvals, announced that it has taken control of 100% shareholding in Aurora, a German plastic compounder firm, coming into effect from 31st October 2019. After the acquisition, MOL is working on fortifying its position in the recycled, sustainable compounding sector as well as the automotive supplier industry. MOL is an established virgin polymer supplier that is continually looking for opportunities to expand its petrochemical value chain to include higher added-value products. In order to accomplish this goal, MOL is attempting to widen its collaborations with is existing polymers product portfolio through both organic and inorganic developments. With this strategy, the company aims to gain better expertise and high-end capabilities in the case of both recycled and virgin-based plastic compounding.
The acquisition adds Aurora’s proficiency in engineering plastics and polypropylene recyclate-based compounds to MOL’s portfolio. Aurora has production plants situated near other automakers and plastic converters in Baden-Württemberg, Germany, and has a distinctive and lean circular business model. It gathers industrial plastic waste, followed by recycling it and upgrading the properties of the material into an improved plastic that adheres to the requirements of the customers in the automotive manufacturing sector. With the combination of MOL’s expertise and Aurora’s know-how, the long-term goal is to expedite market growth while reducing the environmental footprint. This acquisition is a significant milestone in MOL’s efforts to become a significant chemical player in Central and Eastern Europe, after partnering with German APK for plastic recycling. The company is expanding further in the automotive sector, which is a strategic segment for MOL to accommodate the increasing needs of its consumer base for more sustainable products.
Ferenc Horváth, Executive Vice President, Downstream, MOL Group, had mentioned that the recyclate-based products of Aurora substantially complement their current profile, highlighting their increasing efforts directed towards sustainable development. As the company attempts to establish its standing as an automotive supplier, they view compounding as a crucial activity that they want to integrate into their business portfolio, adds Horváth.