Eastman to Sell Adhesives Resins Business to Synthomer
The sale consists of hydrocarbon resins, pure monomer resins, polyolefin polymers, rosins and dispersions, and oleochemical and fatty-acid based resins product lines.
Eastman Chemical Co. recently announced that it and certain of its subsidiaries have entered into a definitive agreement to sell its adhesives resins assets and business to Synthomer plc for a total cash consideration of $1 billion. The sale consists of hydrocarbon resins (including Eastman Impera tire resins), pure monomer resins, polyolefin polymers, rosins and dispersions, and oleochemical and fatty-acid based resins product lines. The business is currently part of Eastman’s Additives & Functional Products segment.
The final purchase price is subject to working capital and other adjustments at closing. Eastman expects the sale to be neutral to adjusted earnings per share in 2022.
“Along with the divestiture of the tire additives business, this sale is part of our effort to improve the performance of the Additives & Functional Products segment,” said Mark Costa, Eastman’s board chair and CEO. “We are pleased to reach this agreement and that our adhesives resins business now has a clear path forward. We will continue to focus on leveraging our innovation-driven strategy to grow our specialty businesses within AFP and deliver strong earnings growth."