Solvay S.A. (Brussels, Belgium; www.solvay.com) has signed a binding agreement to sell its sulfuric acid virgin production and regeneration business Eco Services to affiliates of CCMP Capital Advisors, LLC.
“The divestment of Eco Services is another step in Solvay’s transformation aimed at achieving higher growth and greater returns. Eco Services has a market leading position and generates stable cash flows, but its business profile differs from Solvay’s strategic ambitions,” said Jean-Pierre Clamadieu, CEO of Solvay. “CCMP Capital is committed to working with the management team to make the investments necessary to support the long term growth of the business.”
The transaction terms correspond to an enterprise value of $890 million (€660 million). Solvay announced in February that it was exploring strategic options for Eco Services. Completion of the transaction, expected in the fourth quarter, is subject to customary closing conditions.