Indorama Ventures has exited its troubled Czech PET recycling plant UCY Polymers CZ, saying a core business assumption on feedstock quality has collapsed under shifting German regulations and supplier models.
The Bangkok‑headquartered polyester giant disclosed to the Stock Exchange of Thailand that its Dutch arm, Indorama Netherlands B.V., has sold its entire 85% stake in UCY to UCY Global Invest, an affiliate of existing 15% minority partner Maximilian Josef Söllner.
Indorama bought UCY in February 2022 to grow its European recycling footprint using bottles sourced via Germany’s deposit return system. However, rule changes and new operating models adopted by two major German suppliers meant the plant was forced to run on Czech and nearby feedstock that its in‑house technology “was not designed” to process, resulting in sub‑standard output that failed to meet quality requirements.
The company said investments and other upgrade options had been re‑evaluated and deemed uneconomical, leading to the divestment as part of its “IVL 2.0” strategic footprint optimisation. No consideration was received for the deal, which completed on 20 January and removes any ongoing obligations or liabilities for Indorama Netherlands, with UCY no longer consolidated as an indirect subsidiary.
