Hexion has completed the sale of its phenolic specialty resin, hexamine and European-based forest products resins businesses for approximately $425 million to Black Diamond and Investindustrial.
The consideration consists of $335 million in cash and certain assumed liabilities with the remainder in future proceeds based on the performance of the business. The company expects to use the sale proceeds to invest in its business and further reduce its debt.
Strengthening Specialty Chemical Portfolio
Commenting on the transaction, Craig Rogerson, Chairman, President and Chief Executive Officer, Hexion, said, “
This sale strengthens the balance sheet, while maintaining a strong specialty chemical portfolio.”
The transaction was announced in September 2020. Credit Suisse acted as Hexion’s financial advisor, Paul, Weiss, Rifkind, Wharton & Garrison LLP as lead legal counsel, and Freshfields Bruckhaus Deringer as European counsel.
Source: Hexion