Thailand based Indorama Ventures (IVL) and Dhunseri Petrochem have agreed to enter into a 50:50 joint venture to manufacture polyethylene terephthalate (PET) resins for domestic as well as international markets.

As per the agreement, Dhunseri Petrochem will buy 50 per cent stake in Micro Polypet (MicroPet), the Haryana based company recently acquired by IVL, for a total consideration of Rs 110 crore. Dhunseri Group promoters, the Dhanukas, will transfer their petrochem manufacturing units in Haldia to the newly floated company, Dhunseri Petglobal (DPGL). Dhunseri Petrochem's liabilities of Rs 550 crore will also be transferred to the new entity.

On the other hand, the Thai major's subsidiary Indorama Ventures Global Services will acquire 50 per cent stake in Dhunseri Petglobal. The Thai group will pay about Rs 285 crore to Dhunseri Petrochem for its Haldia units and another Rs 130 crore for acquiring 50 per cent stake in the new company.

The JV is subject to regulatory approvals and is likely to get completed by September 2016. If the deal goes through, the two JV companies will collectively manufacture 6,96,000 tonne of PET per annum (including MicroPet's manufacturing capacity of 2,16,000 tonne of PET per annum).