PolyOne sells Performance Products and Solutions business
The material supplier is selling its PP&S unit to private investment firm SK Capital in a $775 million all-cash deal.
In a deal that involves one of North America’s largest PVC compounding businesses, materials supplier PolyOne Corp. is selling its Performance Products and Solutions (PP&S) business to private investment firm SK Capital Partners for US$775 million in cash.
PP&S is a global provider of formulated PVC and polypropylene-based solutions, as well as contract manufacturing services, primarily serving the North American construction and automotive end markets. The business reports annual sales of approximately US$700 million.
Headquartered in New York, SK Capital is a private investment firm that focuses on the specialty materials, chemicals, and pharmaceuticals sectors.
In a statement, Avon Lake, Ohio-based PolyOne said that divesting the PP&S business to SK Capital Partners would provide “greater flexibility to accelerate our specialty growth strategy and is in the best interest of customers, employees and shareholders.”
“Longer term, we can further refine our focus on investing in and growing our three remaining segments: Specialty Engineered Materials; Color, Additives, and Inks; and Distribution,” PolyOne president and CEO Robert Patterson added in the statement.
The deal is scheduled to close in the fourth quarter of 2019.