Solvay concludes $890m sale of Eco Services business unit

CCMP Capital Advisors (CCMP) has completed its acquisition of Solvay's Eco Services business for $890m.

 

The sale forms part of Solvay's strategy to achieve higher growth and greater returns.

 

Headquartered in Cranbury, New Jersey, US, the sulphuric acid virgin production and regeneration business recycles spent sulphuric acid and supplies it to refineries in the West Coast, Midwest, the Gulf of Mexico and Canada.

 

The Eco Services company caters to mining, water treatment and other chemical processing segments, from its six manufacturing plants.

 

The company generated revenues of €288m in 2013 and has a workforce of more than 500.

 

In July, Solvay and CCMP signed an agreement for the acquisition transaction.

 

Solvay CEO Jean-Pierre Clamadieu earlier said: "Eco Services has a market-leading position and generates stable cash flows, but its business profile differs from Solvay's strategic ambitions.

 

"CCMP Capital is committed to working with the management team to make the investments necessary to support the long-term growth of the business."

 

CCMP is focused on equity investments of about $500m in North American and European markets, and primarily invests in consumer / retail, industrial, energy and healthcare sectors.

 

Meanwhile, Solvay said it has increased its resin production capacity by 25% at its facility in the state of Gujarat, India, to meet the demand for polymers.