Indorama Ventures

Indorama Ventures Plc (IVL)

IVL’s move to acquire an ethylene oxide producer should unlock the growth potential in North America, previously restricted by anti-trust laws,
and strengthen IVL’s competitiveness with a backward integration of key feedstock. This would help sustain IVL’s growth in the lucrative North
American market and move it away from less-attractive Asia. Key drivers are sequential earnings growth on capacity additions and margin improvement.
Maintain Outperform (TP basis: 7x CY13 EV/EBITDA).