MIDDLEBURY, Conn. - Chemtura Corp. announced Friday the sale of its organic peroxides business to German organic peroxides maker PERGAN GmbH. The transaction includes Chemtura’s Marshall, Texas manufacturing facility.
Financial terms of the transaction were not disclosed, but the deal is expected to close within 90 days.
“This sale is a small but important step in the restructuring of our Plastic Additives portfolio,” said Chemtura Chairman and CEO Robert L. Wood. “We are divesting product lines where we don’t have competitive advantage to better focus on areas where we do.”
Commenting on PERGAN, Wood added: “PERGAN, which already has organic peroxide facilities in Germany and China, will gain a position in the North American market through this transaction. We are pleased to be transferring this business to a buyer who is interested in growing it, which should benefit both customers and Marshall employees.”
Chemtura’s organic peroxides business had 2006 revenues of approximately $20 million.