Hexion has entered into a definitive agreement to sell its manufacturing site in Yumbo, Colombia to a joint venture led by Master Paints & Chemical Corporation.
Transaction for Profitable Growth
The Yumbo site produces decorative paints under the Algreco® brand name, among others, as well as private-label paints. The site employs approximately 150 associates and had 2018 revenue of approximately $15 million.
The site includes resin manufacturing capacity for both alkyd and water-based paints, as well as asphalt production capabilities. The site operated within Hexion’s Forest Products Resins Segment.
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We believe the Yumbo site’s diversified manufacturing capabilities and strong track record of safe operations will serve Master Paints well going forward,” said Craig Rogerson, chairman, president and CEO.
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Considering the site serves primarily a consumer-facing paint business, the transaction is consistent with our ongoing portfolio optimization as we further position the Company for profitable growth. I would like to thank our associates at the Yumbo site for their many contributions and I am confident they will have exciting opportunities ahead.”
Source: Hexion