LyondellBasell to acquire recycling technology for LDPE

Global chemical company LyondellBasell (LYB) has entered an agreement to acquire full ownership of Merseburg, Germany-based APK AG, a move LYB says positions it to grow and upgrade its circular and low-carbon solutions business.

The transaction’s closing is subject to customary closing conditions.

LYB says APK’s solvent-based recycling technology is a “perfect fit” with its existing mechanical and advanced recycling technologies. The Netherlands-based chemical company adds it that it has invested in APK in the past and has made collaborative efforts to bring the technology to scale.

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By acquiring APK, LYB says it is securing that company’s future after it entered into insolvency at the end of May.

“We see APK’s solvent-based recycling technology as a vital addition and complementary to our existing and future mechanical and advanced recycling operations,” says Yvonne van der Laan, LYB executive vice president of circular and low carbon solutions. “This is an important further step toward reaching our goal to produce and market at least 2 million metric tons of recycled and renewable-based polymers annually by 2030.

“The highly motivated culture of APK will be an excellent fit for LYB. We want to build on the excellent progress of APK and fully leverage its expertise of research and development, project engineering and operations teams, solidifying our position as an industry leader in sustainability.”

APK’s recycling technology is solvent-based and designed for low-density polyethylene (LDPE). LYB aims to increase recycling of hard-to-recycle flexible plastics, adding that such material makes up the majority of mixed plastic scrap from the consumer sector. The technology separates the different polymers of hard-to-recycle flexible plastic materials and produces recycled materials with a high degree of purity, suitable for new flexible packaging of personal care products, for example. The materials produced will be sold under LYB’s Circulen portfolio.

“We are very pleased that we entered into an agreement with LYB, securing the future of the company,” APK AG says Steve Döring, CEO of APK AG. “With its ambition to be a global leader in circular solutions and technologies, LYB is a perfect strategic fit that allows investments into growth opportunities, ensuring that our unique solvent recycling technology can realize its full potential.”