American Securities LLC, a private equity firm, has acquired Hexion Holdings Corp. for $30.00 per share in cash. The sale will close following the previously agreed transaction to sell Hexion’s epoxy business to Westlake Chemical Corp.
Hexion is a global producer of adhesives and performance materials enabling the production of engineered wood products and growing specialty materials. The firm operates 27 manufacturing facilities with 1,300 employees. Pro forma net sales reflecting the sale of its epoxy business total to $1.4 billion.
“Hexion is a market leader and leverages deep chemistry and application knowledge to support its customers in diverse end markets,” said Scott Wolff, a managing director of American Securities. “The Company is well-aligned with global megatrends, including safety and sustainability requirements and regulations, population growth, and household formation. We are thrilled to partner with Hexion to support the next chapter of the Company’s growth.”
Moelis & Company LLC and Morgan Stanley & Co. LLC served as financial advisors to Hexion Holdings, and Davis Polk & Wardwell LLP served as legal counsel. Lazard served as financial advisor to American Securities, and Kirkland & Ellis served as legal counsel.