Norsk Hydro will not be selling the division due to a more positive outlook for PVC

Norsk Hydro will not be selling the division due to a more positive outlook for PVC

Hydro Polymers is no longer for sale, parent company Norsk Hydro announced on Wednesday. The PVC division had been on the disposal list for two years, but the company has changed its mind, partly because of a more positive outlook for the material. A lengthy period under a “for sale” sign is also damaging to the business and the morale of the staff, a spokesman said.

Now, the emphasis will be on streamlining the business and completing investment projects, notably the major NKr1bn (E118m) chlorine plant at Rafnes, in Norway. Investment has also taken place in the UK operation at Newton Aycliffe, particularly in the PVC recycling business.

Hydro Polymers is Europe’s fourth-biggest PVC maker with a turnover of NKr4.5bn (E533m) and 1,200 employees. News of the changed policy came as Norsk Hydro completed the over-subscribed flotation of its fertiliser business under the Yara name.