Seoul – A group of Korean companies is to buy Momentive for $3.1 bn. This includes net debt, pension and other liabilities.
The purchasing companies are KCC, Wonik QnC and SJL Partners. KCC is a Korean chemical engineering, paint and building materials company. Wonik QnC makes and sells quartz and ceramics for silicon wafers. SJL Partners is a private equity investment manager
Cash and new loans will finance the deal which is expected to close in the first quarter of 2019. The deal values each Momentive share at $32.5.
Jack Boss, Momentive’s CEO, said the deal is ‘a great outcome for all our stakeholders while positioning the company for long-term growth and job creation. It will broaden our portfolio of products, increase geographic reach and strengthen our financial position’.
Steve Lim is the managing partner of SJL and represents the buying consortium. He said the deal would give the expanded company ‘superior capabilities and expanded geographical markets’.
Momentive is based in Waterford, New York. Aside from surfactants for polyurethanes, it develops and manufactures specialty silicones and silanes, as well as fused quartz and specialty ceramics products. Momentive been in business in one form or another for 75 years. It has a global network of 24 production sites, and 12 research and development facilities.