Hexion Completes Phenolic Resins Sale
Hexion has completed the sale of its phenolic specialty resin, hexamine and European-based forest products resins businesses to private equity investors Investindustrial and Black Diamond Capital Management for about $425 million. The deal, which took effect after all approvals, was announced in September 2020.
Columbus, Ohio, USA-based Hexion, which supplies the global adhesive, coatings, composites and industrial markets, said it plans to use the proceeds to invest in its business and further reduce debt. CEO Craig Rogerson added that the sale strengthens the company’s balance sheet while maintaining a strong specialty chemical portfolio going forward.
Investindustrial is a European group of independently managed investment, holding and advisory companies with €11 billion of raised fund capital. Black Diamond based in Stamford, Connecticut, focuses on underwriting, trading, restructuring and managing stressed, distressed and private equity investments. Funds managed by the two investors own equal shares in Polynt-Reichhold, formed in 2017 from the merger between Italy’s Polynt and US-based Reichhold.
Author: Dede Williams, Freelance Journalist
