The partnership assigns a 44% stake to SCG Chemicals, a subsidiary of Siam Cement, while PTT Global Chemical retains the remaining majority interest. Executives anticipate the integration will yield annual benefits between 150 million and 200 million dollars, creating a more resilient entity capable of rivaling international producers.
In section Market Quotes
Siam Cement and PTT Global Merge Petrochemical Units in $5.5B Deal
Two of Thailand’s industrial giants, Siam Cement and PTT Global Chemical, are merging their olefins and polyolefins operations into a $5.5 billion joint venture. By consolidating production capacity, the firms aim to fortify their position against intensifying global competition that has squeezed profit margins and operating rates across the sector.
Investors reacted sharply to the announcement on Thursday. Siam Cement shares dropped 4.7%, while PTT Global Chemical saw an 8.3% decline, marking its most significant single-day loss since April 2025. The transaction remains subject to shareholder and regulatory approvals, with completion targeted for the second half of next year.
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