Luxi Chemical to set up caprolactam plant

Luxi Chemical will instead of setting up a organic silicon project as announced earlier, will now set up a 200,000 tons per annum caprolactam (CPL) plant.

In a filing, Luxi announced plans to terminate the second phase of an organic silicon project, and will instead spend 1.2 billion Yuan raised through an Initial Public Offer (IPO) on a CPL plant.

Luxi will spend around 2.5 billion Yuan on setting up the CPL unit and expects the plant to generate around 4 billion Yuan in annual revenue.