The Chemours Company (Chemours) (NYSE: CC), a global chemistry company with leading market positions in titanium technologies, fluoroproducts and chemical solutions, has signed a definitive agreement to sell the assets which comprise its Sulfur Products business, part of its Chemical Solutions segment, to Veolia North America for $325 million in cash. The company anticipates closing the transaction within the second half of 2016, subject to customary closing conditions and regulatory approvals.
“Today marks the completion of our Chemical Solutions portfolio review—a key milestone in our five-point transformation plan,” said Mark Vergnano, Chemours president and CEO. “In less than one year, we sold our aniline facility in Beaumont, Texas; began cost improvement efforts in our Methylamines business in Belle, W.Va.; began shutdown of our Reactive Metals Business in Niagara Falls, N.Y.; and announced the sale of our Clean and Disinfect and Sulfur businesses. Once complete, we will have a lower capital-intensive and streamlined Chemical Solutions portfolio that includes our growing Cyanides business. The total gross proceeds from the three divestitures will be approximately $700 million, providing strategic flexibility as Chemours completes its transformation plan.
” Sulfur Products, with approximately $250 million in revenue, is a leading provider of sulfuric acid products and services to a range of industries in North America. It is a leading provider of spent acid regeneration (SAR) and sulfur gas recovery (SGR) services, non-fuming sulfuric acid and higher value sulfur derivatives (HVSDs). There are approximately 240 employees supporting Sulfur Products primarily located at 7 production sites in North America. Barclays is acting as financial advisor and Wachtell, Lipton, Rosen & Katz is acting as legal advisor to Chemours.