Elf Atochem shareholders have approved the merger of the former Elf Aquitaine chemicals division into TotalFinaElf. The division is now named Atofina.
With sales of 114 billion francs and a workforce of 70,000, it ranks fifth worldwide, according to TotalFinaElf.
New Chairman and CEO Fran�s Corn�s has taken over for Jacques Pu�al, who built the group and oversaw its integration into TotaFinaElf. Pu�al is retiring.
Atofina integrates Total SA's specialty chemicals business, Petrofina SA's and Atochem's petrochemicals businesses, and Atochem's intermediates and performance chemicals businesses. Corn�s said the new Atofina will stand on three legs: petrochemicals and plastics, with world-scale units; intermediates and performance polymers, which will be process-driven; and specialties, which will be client-driven. The latter, said Corn�s, may possibly be spun off later into an affiliate because of the strength of its brands.
Synergies worth 310 million euros will be drawn from purchases, organization, processes, logistics, client approach, research integration, and TotalFinaElf's refinery sites, according to the firm. The division's return on capital employed target is 14% assuming oil prices of $15-17/bbl.
