INEOS Barex AG, INEOS Barex USA LLC, and MSM Poly LLC are reporting that they have signed a Memorandum of Understanding (MOU) for the potential sale of intellectual property and production support related to the Barex product line. Under the agreement, MSM would purchase all existing IP from INEOS along with specific physical assets, commercial/operational support, and a supply of Barex resin.
“This MOU allows both groups to move forward in the process while providing some assurance to current Barex users that the brand could be made available post the exit of INEOS,” explained Paul Overment, CEO of INEOS Barex, in a statement.
INEOS has been producing Barex resins since 2005 following its acquisition of the Innovene business from BP. It later announced in late 2014 that it would close the Barex plant in Lima, OH, in 2015.
Earlier this year PMP News reported that MSM Poly, a newly formed company led by medical plastics industry veteran Patrick Mickle, had begun laboratory synthesis of acrylonitrile methyl acrylate copolymer latex (AMAC). Mickle stated that “a core group of pharma packaging and other companies approached us through the consultancy Montesino Associates to seek an alternate, ongoing supply of AMAC following the discontinuation of production of a trademarked AMAC by a major supplier. We formed for that purpose and are moving rapidly to commercial production.”
The company began producing Anobex brand AMAC and in February polymer research lab Bay Materials found that "AMAC and Barex 210 are indistinguishable, exhibiting similar melt flow (viscosity) properties, and strength and toughness at room temperature."
MSM POLY has now begun low-volume production of Anobex for initial commercial trials with convertors and end users, working toward full commercial production of Anobex with the capacity to supply the existing market by the beginning of 2017, the company reported.
Peter Schmitt, managing director of Montesino Associates, tells PMP News that MSM Poly would have the option to offer either Barex or Anobex AMAC, depending upon customer preferences.
MSM POLY continues to work with Tiarco Chemical at its Greenville, SC, facility. Tiarco Chemical, a wholly owned subsidiary of Textile Rubber & Chemical Inc., is experienced in producing latex additives and compounds. MSM Poly and Tiarco Chemical are in negotiation for long-term production of AMAC at the Greenville.
INEOS Barex AG, INEOS Barex USA LLC, and MSM Poly LLC are working toward completion of their transaction later in 2016.
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