Hoechst Acquires PTA Technology Rights From Mitsubishi Chemical

After a lengthy evaluation process, the polyester business of Hoechst has acquired the rights to Mitsubishi Chemical Corp.'s purified terephthalic acid (PTA) technology for an undisclosed price. While the technology license is applicable to both Europe and the Americas, initial feasibility studies will be finalized for a world-scale unit to be constructed in the Americas.

Hoechst's polyester products are used for textiles, resins, films and other industrial applications and the company is currently the largest merchant consumer of PTA in the world. Its polyester business had 1997 sales of approximately $3.5 billion.

Hoechst has recently signed a letter of intent to sell its polyester business to a consortium between Koch Industries and Isaac Saba and sons. The Mitsubishi PTA technology rights would be part of that sale, which also includes Hoechst's polyester assets in the U.S. and Mexico, along with its technical fibers and resins business in Europe.

For more information: Ellen Sweeney, 212-251-8050, or Barbara Morgese, 212-251-8052, Hoechst Group.