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05-05-2010

SGL/Mitsubishi Rayon: Joint Venture for Precursor Production

SGL Group, Wiesbaden, Germany, and Mitsubishi Rayon Co. Ltd. (MRC), Otake, Japan, announced the contract closing of their joint venture for the production of polyacrylonitrile (PAN) based precursor, which is the raw material required to manufacture carbon fibers. The joint venture operates under the name “MRC – SGL Precursor Co. Ltd.” (MSP) and will ensure the precursor supply for SGL Automotive Carbon Fibers LLC (SGL ACF), the joint venture between SGL Group and BMW Group to manufacture carbon fibers and fabrics for the Megacity Vehicle. The Head Office of MSP is located in Tokyo and the precursor will be produced at MRC’s Otake Production Center, as announced in October 2009. Commercial production is scheduled for April 2011. MRC holds 2/3 of MSP’s shares and SGL holds 1/3 respectively – SGL Group has essential supervision and minority rights.

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