Alpek and BASF sign agreements regarding their EPS and PU business activities in the Americas

Monterrey, Mexico; Ludwigshafen, Germany – July 10, 2014 – Alpek, S.A.B. de C.V. (“Alpek”) and BASF announced today that they have signed agreements concerning the EPS (expandable polystyrene) and PU (polyurethane) business activities of their Polioles joint venture in Mexico, and BASF’s EPS business in North and South America, excluding BASF’s Neopor® (grey EPS) business.

Alpek will acquire all of Polioles’ EPS business activities, including its EPS production site in Altamira, Mexico. In parallel, BASF will acquire Polioles’ PU business activities, including selected assets in its Lerma facility as well as all marketing and selling rights for PU systems, isocyanates and polyols. Upon completion of the transaction, Polioles will continue operations as an Alpek-BASF joint venture with a product portfolio comprised of industrial and specialty chemicals.

Under the agreements, Alpek will also acquire BASF’s EPS business activities in North and South America, including:

• BASF’s EPS sales and distribution channels in North and South America,
• BASF’s EPS production facilities in Guaratinguetá, Brazil, and General Lagos, Argentina, and
• BASF’s EPS foam parts business in Chile (Aislapol, S.A.).