GC and SCGC move ahead with petrochemical joint venture study, structure expected to be finalised by October 2026

Money & Banking··TH·Read original
3▲1 ▼0Impact / 5
Summary · why it matters

PTT Global Chemical, or GC, and SCG Chemicals, or SCGC, have reported progress on their study into establishing a petrochemical joint venture, saying it is proceeding according to plan. The two companies are currently conducting due diligence to confirm information, as well as discussing and setting the key terms of the transaction and assessing the expected mutual benefits from combining the strengths, capabilities and assets of both parties. The scope under study covers GC's olefins and polyolefins business in Thailand, including GC's shareholding in HMC Polymers. On the SCGC side, it covers the olefins and polyolefins business in Thailand, including olefins production plants, polyethylene (PE) and polypropylene (PP) production plants, as well as holdings in related joint ventures, namely Siam Polyethylene, Siam Synthetic Latex, Thai MMA and Bangkok Synthetics. Under the transaction structure currently being considered, GC will be the major shareholder of the joint venture, while SCGC will hold a significant stake. The newly established joint venture will become the holder of the various joint venture stakes in place of GC and SCGC. Both companies expect to be able to finalise the key terms of the transaction by October 2026, covering the shareholding structure, the transaction process and the value of the expected mutual benefits. However, the project still requires the filing of a permit application with the Trade Competition Commission, as well as approval from the boards and relevant regulators in due course.

Impact on assets 1

Materials▲ · 1 stocks

Off-coverage companies 6

SCG Chemicals Public Company Limited (SCGC)Private▲ Positive
Capitalrelevance

SCGC is progressing its petrochemical JV study with GC, a corporate transaction/M&A development in which SCGC would hold a significant stake.

Bangkok Synthetics Co., Ltd.Private± Mixed
relevance

HMC PolymersPrivate± Mixed
relevance

Siam Polyethylene Co., Ltd.Private± Mixed
relevance

Siam Synthetic Latex Co., Ltd.Private± Mixed
relevance

Thai MMA Co., Ltd.Private± Mixed
relevance

© 2026 MarketIVNews