Trinseo selling its synthetic rubber business to Synthos S.A. for $491 million
The deal includes approximately 440 employees, mostly located in Schkopau, Germany, who are expected to join Synthos when the transaction closes next year.
U.S.-based material supplier Trinseo is selling its synthetic rubber business based in Schkopau, Germany to Poland’s Synthos SA in a deal valued at US$491 million, which includes US$449.4 million of cash and the assumption of approximately US$41.6 million of pension liabilities.
The deal includes approximately 440 employees, mostly located in Schkopau, who are expected to join Synthos once the transaction closes, which is expected to happen in 2022. The transaction also includes the transfer of the associated Schkopau-based manufacturing and research and development facilities, as well as related intellectual property.
“In pursuing our transformation strategy toward becoming a higher margin and less cyclical specialty materials and sustainable solutions provider, we believe our best path is to focus on growth in engineered materials and CASE applications,” said Trinseo president and CEO Frank Bozich in a May 21 news release. “Following the acquisition of Arkema’s PMMA business, the divestiture of synthetic rubber provides Trinseo with a stronger balance sheet and greater flexibility to pursue organic and acquisition growth opportunities.”
Trinseo is headquartered in Berwyn, Pa.