Solvay SA is selling its global cross-linkable polyolefins compounds unit to Finproject SpA for an undisclosed price.
In a March 30 news release, Solvay executive Augusto Di Donfrancesco said that the compounds "no longer fit within the [Solvay] portfolio of high-performance specialty polymers.
"Solvay has consistently grown the value of this business," added Di Donfrancesco, who serves as president of global specialty polymers. "Its divestment contributes to the upgrade of Solvay's specialties portfolio,"
The Solvay compounds unit is based in Roccabianca, Italy, and posted sales of 82 million euros ($87.7 million) in 2016. The materials are produced in Italy but sold worldwide into wire and cable and pipe applications. The unit employs about 100.
Morrovalle, Italy-based Finproject is a leading manufacturer of injection molded foam, polyolefin-based compounds and PVC compounds. The firm was founded in 1965, initally making materials for the footwear market and later branching into other industries.
Family-owned Finproject has production sites worldwide, including North American production in Canada and Mexico. A Solvay spokesperson said that although Solvay and Finproject made some similar compounds, they did not compete against each other.
The transaction is expected to close in the second quarter of 2017. Brussels-based Solvay employs 27,000 worldwide and posted sales of 10.9 billion euros ($11.7 billion) in 2016.
