NORTHFIELD, ILL. — Stepan Co. plans to sell its specialty polyurethanes systems business to J6 Polymers LLC in a cash deal.
While the actual purchase price was not disclosed, Stepan said it expects to report a pretax one-time gain of between $2.5 million and $3 million from the sale proceeds. Northfield-based Stepan said the business generates annual sales of $2.8 million.
The business produces its urethane chemicals at a company plant in Millsdale, Ill., and through third party toll manufacturers, Stepan said. During a transition period, all of its products will be toll produced, it said.
“This transaction will allow our polymer business segment to redeploy resources to further improve growth and innovation in our line of polyols for coatings, adhesives, sealants and elastomers applications,” according to F. Quinn Stepan Jr., president and CEO of Stepan, a manufacturer of specialty and intermediate chemicals used in a range of industries.
J6 is based in Kingston, Ill., according to information from the Illinois Secretary of State's website.