Albemarle Mulls Sale of Chemetall
US specialty chemicals company Albemarle is exploring the sale of its Chemetall surface-treatment division, according to the news agency Bloomberg. People familiar with the matter told the news agency CEO Luke Kissam is looking for ways to help pay down debt from its $6.2 billion acquisition of Rockwood Holdings in 2014.
Bank of America reportedly has been hired to advise on strategic options for Chemetall, which provides surface-treatment chemicals for metals and plastics and is believed to be worth as much as $3 billion.
Albemarle sold two other businesses earlier this year – minerals and metal sulphides – but abandoned the sale of a a third operation supplying fine chemicals as it did not receive high enough bids.
Chemetall, which was part of the Rockwood deal, reported EBITDA of $52.5 million in the first quarter of 2016, up 14% year on year.