Venator Materials plc (Venator) has finalized the sale of its 50% stake in the Louisiana Pigment Company (LPC) Titanium Dioxide manufacturing joint venture facility to Kronos Worldwide, Inc., its operational partner.

The transaction yielded Venator $185 million in cash upon completion, with potential for an additional earnout payment of up to $15 million, contingent on working capital adjustments. This strategic move allows Venator to streamline its portfolio and optimize resources, while Kronos expands its footprint in titanium dioxide production, reinforcing both companies' strategic objectives in the global chemicals and materials sector.

Simon Turner, President and CEO, expressed satisfaction with the progress of Venator's transformation plan, emphasizing their commitment to enhancing business strength. By concentrating financial resources and talent on core operating facilities, Venator aims to improve customer service and deliver robust shareholder outcomes. Turner acknowledged customers who have supported Venator products through LPC and thanked the LPC team for their significant contributions. He assured customers in the Americas served from other plants of Venator's unwavering dedication to providing high-quality products and excellent service.

Venator occupies a prominent position in the global chemicals market, specializing in the development, manufacturing, and marketing of pigments and additives. Their comprehensive product portfolio caters to a wide range of industrial applications. Notably, Venator's pigments contribute to visually striking and durable buildings, while their additives play a crucial role in extending product lifespans and promoting energy efficiency.

To deliver these benefits, Venator strategically operates through two core segments: Titanium Dioxide (TiO2) and Performance Additives. The TiO2 segment focuses on titanium dioxide products, while Performance Additives encompasses a broader range of functional additives, color pigments, and timber treatment solutions.

With a global footprint, Venator operates a broad network, employing around 2,700 professionals and serving customers across more than 109 countries. This extensive reach underscores Venator's robust presence in the specialty chemicals sector, enabling it to deliver innovative products and solutions worldwide. The company's strategic divestment of its stake in the Louisiana Pigment Company reflects its commitment to optimizing operations and focusing on core competencies, while maintaining a strong international presence to meet the diverse needs of its global customer base.

Venator's sale of its stake in the Louisiana Pigment Company represents a focused strategic decision aimed at optimizing its asset portfolio. By divesting its interest to Kronos Worldwide, Venator not only realizes immediate financial gains but also positions itself to concentrate on core business areas. The transaction underscores Venator's commitment to enhancing shareholder value and streamlining operations, while Kronos strengthens its market position in titanium dioxide manufacturing. This move aligns with industry trends towards consolidation and efficiency in specialty chemicals, enabling Venator to allocate resources more effectively and pursue future growth opportunities in line with its strategic priorities.