Hexion has sold its La Grande, Oregon, manufacturing site to long-standing customer, Kronospan. According to Hexion, the transaction is a strategic step that advances both Kronospan’s business and Hexion’s portfolio refinement activities. Additionally, it reflects a shared commitment to long-term partnership between the two companies, with Hexion and Kronospan continuing to collaborate closely across their broader businesses.

Kronospan is acquiring the facility as part of its strategy to improve manufacturing efficiency. Following the transaction, the site will continue operating with the same team, maintaining Kronospan’s production needs and supporting both companies’ focus on operational excellence and continuity. The acquisition marks a significant step in Kronospan’s ongoing expansion of its North American footprint and reinforces its long-term growth strategy. Hexion and Kronospan are dedicated to a seamless transition for their employees.

“Today marks an important milestone for Kronospan,” said Hans Obermaier, CEO of Kronospan’s North American operations. “With the La Grande chemical plant now part of Kronospan, we strengthen our supply chain, broaden our manufacturing base, and reaffirm our commitment to delivering high-quality products to customers across North America. We are excited to welcome the talented La Grande team into the Kronospan family and look forward to building our future together.”

“This divestiture is another clear example of how we are reshaping Hexion to focus on high-value, differentiated growth markets while ensuring strong outcomes for our customers and our people,” said Michael Lefenfeld, resident and CEO of Hexion. “As we advance our strategy to lead in cellulose-based performance materials and next-generation, AI-enabled manufacturing, this step creates the capacity to redirect resources toward innovation, digital tools, and new customer solutions. We look forward tocontinuing our long-standing partnership with Kronospan, and to working with them and others across the industry as we scale these AI-enabled manufacturing technologies across the market.”

Hexion reports that the deal advances the company’s transformational strategy to optimize its product portfolio and plant network while accelerating its shift toward cellulosic innovation and sustainable, high-performance solutions. The first step of this strategy was the acquisition of Smartech, whose AI solutions for operational manufacturing are helping customers improve efficiency, reduce waste, and optimize performance. Recently Hexion announced a strategic divestiture of its U.S. Gulf Coast formalin business to Ancala, an infrastructure investment firm.

Learn more about Hexion by visiting hexion.com. Additional information about Kronospan is available at kronospan.com.