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MeadWestvaco, Chemserve Announce Joint Venture

Packaging company and Chemserve will partner on a joint venture with Resitec Industria Quimica, a Brazilian chemicals company.

CHARLESTON, S.C. (AP) -- Chemserve and packaging company MeadWestvaco Corp. said Monday they will partner on a joint venture with Resitec Industria Quimica Ltda., a Brazilian chemicals company.

Financial terms were not disclosed. Chemserve is based in Africa and supplies chemicals and raw materials to a number of different industries.

The deal will broaden Resitec's product offerings and strengthen MeadWestvaco's and Chemserve's presence in South America.

Under the terms of the agreement, Resitec will expand its pine chemicals product offerings and assume some production and all regional sales of MeadWestvaco's specialty chemicals products.

''This partnership represents an important step for two known market leaders as they grow their presence in Brazil, which now has one of the world's largest economies,'' Ed Rose, a spokesman for MeadWestvaco, said in a statement.

The deal is expected to close in the second quarter.