Solvay to withdraw from esco salt

摘要

BELGIUM'S Solvay SA and Germany's K+S Aktiengesellschaft have announced the signing of a non-binding letter of intent aimed at the sale of Solvay's 38 percent stake in esco (European Salt Company GmbH & Co. KG) to K+S, which already holds the other 62 percent of the JV. The completion of the transaction is subject to the signing of a definitive agreement by both parties and clearance by competition authorities. Hannover-based esco was set up in 2001 to encompass the production and distribution activities of crystalline salt which Solvay and K+S intended for third parties, in applications such as human consumption, animal feeds, road de-icing and water softening. K+S spokesman Ulrich Goelbel said, "the deal is important for us as we are a major player in the European salt market and we want to strengthen this by acquiring the remaining share". Solvay will retain the salt production activities needed for its internal use and will continue to supply brine to esco from integrated operations, but will not be involved in any open market salt sales.