PLASFEDDERGİ S|24

PLASFED DERGİ BREAKING NEWS Mergers and acquisitions in the plastics industry In a neweconomic environment, every business can face “global competitors” even if it only operates in the domestic market. And this has resulted in the acceleration of both local and global mergers and acquisitions all over theworld for almost 30 years. Almost every business has a “proposal” on their desk. Businesses have either offered or recei- ved proposals. Businesses are seeking to acquire other establishments or sell-take a partner for their own establishments for various reasons. The most common reasons are to increase competitiveness, increase market share, provide efficiency, achieve a stronger capi- tal, technological development, and advantage in supplying main or key inputs. Even mergers and acquisitions can be carried out to make a company’s balance sheets (e.g. debtors) more robust. While almost every business has a proposal on their desk, mergers and acquisitions in the Turkish plastics industry seem to be complicated. Recently, a series of sales-mer- gers including ICI top 500businesses has been observed. However, the number of such mergers and acquisitions appear to be very low in a country having a robust domestic market like Turkey. PLASFEDMAG compiled various information from the institutions issuing the merger-acquisition report and the Competition Authority database. Accor- dingly, in the last 5 years, 2015 and 2016 have been a bit more “dynamic” than the pre- vious years in terms ofmergers and acquisitions, but it seems that the plastics industry is “not very willing” to sell its partnership and business!... 106