Kemira to form a joint venture and a strategic alliance with IVRCL in India

Kemira Oyj and the Promoters of IVRCL have agreed to form a joint venture in India. In addition, Kemira, Hindustan Dorr-Oliver (HDO) and IVRCL are forming a strategic alliance to serve Indian water treatment markets. IVRCL and HDO are leading water infrastructure companies in India.
The joint venture will include an inorganic coagulant manufacturing facility to be constructed in Vishakapatnam (Vizag) in the state of Andhra Pradesh in India. Inorganic coagulants are essential chemicals used in industrial and municipal water treatment. The manufacturing facility is expected to be operational during the second half of 2011.
The joint venture is 51% owned by Kemira and 49% by the Promoters of IVRCL. The strategic alliance includes a supply agreement under which Kemira will provide water treatment chemicals to IVRCL's water treatment plants in India. The joint venture and the supply agreement are not expected to have a significant short-term financial impact on Kemira.

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