Belgium: Management Strategy Solvay to Sell Barium, Strontium and Sodium Percarbonate Business to Latour Capital
With an aim to streamline Solvay’s portfolio, the company has plans to sell its barium, strontium and sodium percarbonate business. The move is in line with the firm’s earlier announced ‘Grow’ strategy.
Brussels/Belgium – Solvay has reached an agreement with Latour Capital to sell its technical-grade barium and strontium business in Germany, Spain and Mexico as well as its sodium percarbonate business in Germany. Solvay’s barium and strontium business includes a joint venture with Chemical Products Corporation (CPC), which is part of the transaction. The agreement is a key step towards streamlining Solvay’s portfolio while reducing the Group’s footprint by exiting its position in niche technical-grade chemicals markets. The divestment also aligns with Solvay’s ‘Grow’strategy, announced last year.
“We have established a global leadership position in the technical-grade barium and strontium business with a diversified customer base. Building on this strong foundation, the new owner has shown a strong willingness to develop the business and its employees further,” explained Rodrigo Elizondo, president of Solvay’s Special Chem business unit.
“We thank Solvay for their more than 15 years of successful partnership. CPC will continue to operate its core barium chemicals business, taking advantage of opportunities to diversify the portfolio by leveraging our strong position in the North American market and the outstanding application-specific technology,” added Tom Bourdon, president of CPC.
Solvay's Germany-based sodium percarbonate business was deemed essential during this unprecedented sanitary crisis and is very resilient . “Over the years, we have built up a highly efficient production process as well as strong partnerships with global customers that the new owner will keep leveraging upon,” adds Marco Giannuzzi, Solvay Peroxides EMEA General Manager.
“Under Solvay’s umbrella, both businesses have established leading competitive positions and proved to have very efficient production processes. We are convinced by the teams’ strong operational know-how, by the industrial sites’ operational excellence and by the intrinsic product quality. We will support the management to deliver an ambitious and sustainable growth strategy, with the right investments in capacities and continuous improvements on ESG matters,” concludes Didier Gaudoux, partner at Latour Capital.
The completion of the transaction, which shall take place in Q1'21, remains subject to the completion of information and consultation procedures with employees representatives and the approval from the relevant regulatory authorities.