Eastman Chemical to sell-off tyre additives business

Eastman Chemical to sell-off tyre additives business

US-headquartered global specialty materials company, Eastman Chemical Company has entered into a definitive agreement with an affiliate of One Rock Capital Partners  to sell the rubber additives, including its Crystex insoluble sulfur and Santoflex antidegradants, and other product lines and related assets and technology of the global tire additives business of its Additives & Functional Products segment. The Eastman Impera and other performance resins product lines of the tyre additives business are excluded in the sale.

The transaction’s total sale price is US$800 million. The final purchase price is subject to working capital and other adjustments at closing. The company expects the sale will be either neutral or accretive to adjusted earnings per share in 2022. Completion of the transaction, which is expected in the second half of 2021, is subject to regulatory approvals and customary closing conditions.