PPG to sell silicas products business to Qemetica
US paints and coatingsmaker PPG has agreed to sell its silicas products business for about $310 million to Warsaw, Poland-based Qemetica, a manufacturer of soda ash, silicates and other specialty chemicals. According to the company ther transaction will allow to focus the resources on the technology-differentiated coatings and specialty products.
The transaction is expected to close in the fourth quarter of 2024, subject to customary closing conditions. The deal is the result of PPG’s evaluation of strategic alternatives for the business, which was first announced in January 2024.
PPG’s silicas products business, which has about 400 employees, manufactures precipitated silica products as performance-enhancing additives. In 2023, the silica products business represented between 1-2% of PPG’s total net sales, the company said. The transaction includes PPG’s precipitated silicas manufacturing facilities in Lake Charles, Louisiana, US and Delfzijl, The Netherlands. In addition, Qemetica will lease silicas manufacturing and research and development operations at PPG’s US sites in Barberton, Ohio, and Monroeville, Pennsylvania, respectively.
PPG’s CEO, Tim Knavish, said: “This transaction will allow us to further focus our resources on our technology-differentiated coatings and specialty products businesses to accelerate our organic growth and drive increased shareholder value creation.”
