PPG Completes Sale of Silica Products Business to QEMETICA for Approximately $310 Million in Pretax Proceeds

PPG has finalized a transaction in which the business was sold for roughly $310 million in pre-tax proceeds to QEMETICA -a Warsaw, Poland-based, privately held manufacturer of soda ash, silicates and other specialty chemicals.

PPG is a global performance-enhancer, supplying precipitated silica products to money-spinning manufacturers. For the year 2023, the silica products business represented about 1-2% of total net sales of PPG. The transaction involved the manufacturing facilities of PPG, located in: Lake Charles, Louisiana; and Delfzijl, Netherlands. That includes QEMETICA leasing silicas manufacturing and R&D operations at PPG's sites in Barberton, Ohio and Monroeville, Pennsylvania. The business is led by some 400 employees.

"We are thrilled to complete this transaction with QEMETICA and I would like to express my sincere gratitude to silicas products business employees for their dedication and commitment to the business and PPG customers throughout the years," Tim Knavish, chairman and CEO of PPG.

Framed as a leading chemical manufacturer in Europe, it possesses the largest Western European production capacity of soda ash, evaporated salt, and silicates. QEMETICA sees its growth path as one linked to building a global presence through strategic acquisitions and expansion of operations beyond Europe. It endeavors to diversify its portfolio and penetrate new emerging markets. QEMETICA combines modernity with sustainability.

The transaction is a culmination of PPG's evaluation of strategic alternatives for the business, which was first announced on Jan. 9, 2024. Morgan Stanley & Co. LLC is PPG's financial adviser, while Hogan Lovells serves as its legal adviser.