Hexion Inc. announced a definitive agreement for the sale of its Performance Adhesives, Powder Coatings, Additives & Acrylic Coatings, and Monomers businesses to Synthomer plc for approximately $226 million.
The business is a manufacturer of dispersions, additives, powder coatings and specialty monomers, Synthomer said.
The agreement was reported as an SEC 8-K filing by the company, based in Columbus, Ohio.
Assets included in the transaction are Hexion’s manufacturing sites in Sokolov, Czech Republic; Sant’Albano, Italy; Leuna, Germany; Asua, Spain; Roebuck, South Carolina; and Chonburi, Thailand. The business produces resins, polymers, monomers and additives for adhesives, sealants, paints, coatings, mortars, and cements used primarily in consumer, industrial and building and construction applications. The business generated annual sales of approximately $370 million in 2015, and is part of the company’s Epoxy, Phenolic and Coating Resins Division. The sale is subject to customary closing conditions, including Works Council consultation. The transaction is expected to close in the second quarter of 2016.
The sale of the business’s French assets is subject to a separate, ongoing negotiation process. The employees’ representative bodies at the Business’ Ribecourt, France, site will be informed and consulted on the transaction in accordance with applicable French law.
Synthomer, based in the UK, said the acquisition is expected to be completed this summer. The acquisition “significantly strengthens Synthomer’s position in the performance adhesives and coatings market, offering access to new product technologies, customers and markets,” the company said.
