Albemarle Corporation announced that it has signed a definitive agreement to sell its polyolefin catalysts and components business to W.R. Grace & Co. in a cash transaction valued at approximately $416mn.
The organometallics and curatives portions of the Performance Catalysts Solutions business will remain with Albemarle. As part of the transaction, Grace will assume the lease and operations at the Product Development Centre in Baton Rouge, Louisiana, US, and operations at the Yeosu, South Korea site.
"The sale of this portion of our Performance Catalysts Solutions business shows our continued commitment to portfolio management that is in the best interest of our shareholders and employees," said Luke Kissam, chairman, president and CEO, Albemarle.
"I want to thank our global polyolefin catalysts team for their unparalleled work ethic, performance and professionalism. Grace is highly qualified and well-positioned within the industry to drive these products forward to future success," added Kissam.
The transaction is subject to regulatory approvals and other customary closing conditions and is expected to close during the first quarter of 2018.
BofA Merrill Lynch is acting as exclusive financial advisor to Albemarle in connection with this transaction.