Solvay Sells Surfactants to OpenGate Capital
Solvay’s transformation to a specialties company has taken another step forward with an agreement to sell its European and North American amphoteric surfactant business to US private equity firm OpenGate Capital.
The business, which employs about 175 people, is a key player in surfactants, with a focus on producing amphoterics primarily used in body care, hair care and home care products.
The sale includes three main production sites in Genthin, Germany, Halifax, UK, and University Park, Illinois, USA, as well as a tolling business in Turkey. It also includes tolling and service agreements with OpenGate “to ensure a seamless transition and minimal customer disruption.”
“This agreement represents another critical step in the execution of our strategic plan as we further focus our home & personal care portfolio on growing specialty formulations and custom solutions,” said Michael Radossich, president of Solvay's Novecare global business unit.
The transaction is expected to close by end March, pending completion of customary conditions and regulatory approvals.
Solvay said it will invest the proceeds of the sale in its strategic growth segments “as part of its portfolio simplification journey.”
Last November, Solvay agreed to sell its barium and strontium business in Germany, Spain and Mexico, as well as its sodium percarbonate business in Germany, to Latour Capital. Earlier that month, the Belgian group also revealed it was negotiating the sale of its process materials business with Composites One.
On Jan. 31, 2020, Solvay completed the sale of its performance polyamide activities to BASF and Domo Chemicals.
Author: Elaine Burridge, Freelance Journalist
