A1 Becomes a Co-Owner of the POLYPLASTIC Group
A1 gained control over 50% stake in the Cypriot company APG Polyplastic which owns 96.5% stake of the POLYPLASTIC Group.
Currently, the POLYPLASTIC Group includes 15 leading enterprises of the tubular pipe polymer industry located in Russia, Belarus and Kazakhstan with the total capacity of about 300,000 tons of products per year, more than 15 trading houses, R&D Institutes and its own training centre. The Group is one of Top-200 largest Russian private companies according to Forbes (2015). According to Forbes, the company’s revenue in 2014 totalled 29 billion roubles. The POLYPLASTIC Group holds a leading position in the plastic pipe market.
A1 invests in promising companies of the most rapidly developing segments of the economy, the current value of which is below the base value due to unresolved corporate conflicts between shareholders, or between shareholders and management, lack of transparency in corporate governance, high leverage and low financial stability.
A1 plans to jointly with other shareholders and the management team of the POLYPLASTIC Group improve the efficiency and transparency of operations of the company and bring the corporate governance to international standards. The POLYPLASTIC Group has good prospects for growth in the next 5-7 years and the yield on the IPO, especially given the high potential for market development and the company’s leadership in the industry.
A1 is a key investment unit of the Alfa Group, one of the nation’s largest privately owned financial and industrial consortia. Founded in 1989 (till 2005 known as Alfa-Eco) as the first major company of the Alpha-Group Consortium, A1 focuses on investment projects of two types:, “special situations” involving complex economic and corporate situations as well as growth projects.
For more than 20 years of activities A1 has implemented a number of projects in Russia and the CIS, namely Alfa-Bank, THK-BP, VimpelCom, X5 Retail Group, Rosvodokanal Group of Companies and many others which became independent business entities as part of the Alfa Group.