Netkanika

History

2023: Polymatiz bought Netkanika

On December 14, 2023, it became known that the Federal Antimonopoly Service of the Russian Federation granted the petition of the non-woven fabric manufacturer Polymatiz from Tatarstan to acquire a 99.99 percent stake in Netkanik. The terms and amount of the transaction as of the specified date are not disclosed.

Both of these companies specialize in the production of nonwoven fabrics. They, in particular, supply spunbond and meltblown: these products are in demand in medicine, construction, the automotive industry and other areas. Against the backdrop of the COVID-19 pandemic, enterprises have increased the production of nonwoven materials to meet the growing demand for disposable medical devices, including masks. Thus, Netkanika received two loans totaling 700 million rubles to create a new line in Moscow for the production of personal protective equipment (PPE), medical clothing and hygiene products. However, after the easing of restrictions due to COVID-19, the demand for PPE began to decline.

According to the Kommersant newspaper, referring to the statements of the President of the Association of Developers, Manufacturers and Suppliers of PPE Vladimir Kotov, by the end of 2023, many manufacturers, including Netkanika, have a surplus of capacities for the manufacture of materials used in the production of medical products. Enterprises that relied on a sharp jump in demand for PPE during the pandemic began to experience difficulties due to the need to reconfigure production for other markets.

In such a situation, a change of ownership can help Netkanika avoid financial difficulties. Kotov notes that the company may be of interest to market players as a processor of raw materials for integration into a vertically integrated holding and, accordingly, increasing the profitability of the entire polymer processing chain.^[1]

2021: Investment of 429 million rubles in the expansion of materials production

In July 2021, Netkanika announced the investment of 429 million rubles in expanding the production of materials used, including for the manufacture of medical devices. Most of the amount - 429 million rubles - fell on a preferential loan from Moscow. The manufacturer will also invest 129 million rubles of its own funds.

According to Vladimir Efimov, Deputy Mayor of Moscow for Economic Policy and Property and Land Relations, the preferential loan will help Netkanika expand the production of materials used to produce personal protective equipment.

Russian manufacturer of nonwoven materials for medicine "Netkanika" expands production

The ongoing investment project will provide the Russian market with materials such as spanbond, meltblown and spanmelt used to make disposable personal protective equipment: masks and protective suits for medical personnel, children's and adult hygiene products, he said.

In addition, according to Efimov, an increase in production will reduce dependence on imports of such products. Alexander Prokhorov, head of the investment and industrial policy department, says that as a result of the project, Netkaniki's revenue will grow by more than 20% compared to 2020, and tax contributions to the capital's budget during the loan period will exceed 240 million rubles. He added that about 25 new jobs will appear at the enterprise.

It is assumed that the investment project will allow the company to provide the Russian market with materials for the manufacture of disposable masks and protective suits for medical personnel, children's and adult hygiene products, as well as reduce dependence on the import of such products.

Netkanika, according to the company's own data, produces 1 billion square meters of nonwoven fabric per year.^[2]

Notes