PPG, a global leader in paints, coatings, and specialty materials, has announced a definitive agreement to sell its silicas products business to QEMETICA S.A., a privately held manufacturer of soda ash, silicates, and other specialty chemicals based in Warsaw, Poland, for approximately $310 million in pre-tax proceeds. The transaction, expected to close in the fourth quarter of 2024 pending customary conditions, follows PPG’s strategic evaluation of the business, first announced on January 9, 2024. Morgan Stanley & Co. LLC served as PPG’s financial advisor, while Hogan Lovells provided legal counsel.
PPG’s silicas products business specializes in manufacturing and supplying precipitated silica products, which are used as performance-enhancing additives by major companies worldwide. In 2023, this business segment accounted for 1-2% of PPG’s total net sales. The sale includes PPG’s precipitated silicas manufacturing facilities in Lake Charles, Louisiana, and Delfzijl, The Netherlands. Additionally, QEMETICA will lease PPG’s silicas manufacturing and research and development operations in Barberton, Ohio, and Monroeville, Pennsylvania, respectively. Approximately 400 employees are part of PPG’s silicas products business.
PPG Chairman and CEO Tim Knavish commented, “After a comprehensive strategic review, we are pleased to have reached an agreement with QEMETICA, which we believe is well-suited to lead the silicas products business into the future. This transaction will allow us to further concentrate our resources on our technology-driven coatings and specialty products businesses, accelerating organic growth and enhancing shareholder value. I want to express my gratitude to the silicas products business employees for their dedication and commitment in delivering quality products and services that meet our customers’ evolving needs.”
QEMETICA is a leading chemical manufacturer in Central Europe, with significant production capacity in soda ash, vacuum salt, and silicates. The company’s growth strategy focuses on expanding its global footprint through strategic acquisitions and operational expansion beyond Europe, aiming to diversify its portfolio and enter new markets.
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At PPG (NYSE: PPG), we are committed to developing and delivering the paints, coatings, and specialty materials that our customers have trusted for 140 years. With headquarters in Pittsburgh, we operate in more than 70 countries, generating net sales of $18.2 billion in 2023. We serve customers in the construction, consumer products, industrial, and transportation markets.
