12-03-2012

Praxair acquires Russian-based industrial gas gompany

Praxair Inc announced today that it has entered into an agreement with SIBUR - Russian Tyres to acquire their industrial and packaged gases business in the Volgograd Region of the Russian Federation.  The business operates under the name Volzhsky Azot and includes two air separation units and a bulk and packaged gas business.  Financial terms of the agreement were not disclosed.

Praxair has invested in four major projects in Russia with combined production capacity greater than 3,500 tons per day of gaseous and liquid oxygen, nitrogen, hydrogen and argon.  The new air separation units and hydrogen plants will be located in the Volgograd, Sverdlovsk, Rostov and Nizhniy Novgorod regions and will supply a diverse group of customers in the steel, chemical and glass industries with low-cost, high reliability industrial gases.

“The acquisition of Volzhsky Azot gives Praxair additional assets and distribution capabilities to accelerate the company toward its goal of becoming the leading industrial gas manufacturer in the area of Volgograd and throughout southern Russia,” said Todd Skare, president of Praxair Europe.  “SIBUR - Russian Tyres’ professionalism, commitment to sound business practices and operational excellence are well aligned with our own. We intend for this transaction to be the first of many opportunities for Praxair to work with the companies that are part of SIBUR’s diverse businesses.”

“We believe the deal will allow Volzhsky Azot to reach a new level of business development,” said Dmitry Sokov, Chief Executive Officer of SIBUR- Russian Tyres.  “And we are happy to partner with the leading industry player.”