06 Jan, 2021, 12:00 ET
WATERFORD, N.Y., Jan. 6, 2021 /PRNewswire/ -- Momentive Performance Materials, Inc. ("Momentive"), announced today it has reached a definitive agreement to acquire KCC Corporation's ("KCC") Silicones business – in Korea and the UK as well as its sales operations in China – further enhancing Momentive's global capabilities in advanced silicones and specialized applications.
The acquisition will move the capabilities of KCC's Silicones business from KCC Corporation, Momentive's majority shareholder, to Momentive, consolidating the companies' combined capabilities and expertise in advanced silicones. Momentive develops advanced silicone and specialty products for customized applications in healthcare, telecommunications, electronics, personal care, construction, transportation, agriculture, energy, and many other industries.
"We're excited by the synergies this acquisition will bring to Momentive and the broader KCC Corporation," said Momentive President and CEO Sam Conzone, Ph.D. "It expands our technological capabilities and geographic footprint while also substantially strengthening our position in the Asia-Pacific region – including Korea, a country with strong and growing demand for silicones and specialty materials."
Momentive recently announced a series of strategic steps to transform the Company into a leading specialty silicones business, including the recent sale of its Consumer Sealants business to Germany-based company, Henkel, and its phased exit from commodity based products at the Waterford, New York site, while committing to a $15 million investment in Advanced Electronic Materials Production.
"This integration allows us to focus our strengths and expertise on advanced technologies," said Joseph Bruderek, Vice President, Corporate Development and Strategy. "The acquisition of KCC's Silicone business is another important milestone in Momentive's transformation journey."
Momentive's parent company was acquired by KCC Corporation, SJL Partners LLC ("SJL") and Wonik QnC Corporation ("Wonik") in 2019. On January 1, 2020, Momentive divested its Quartz and Ceramics business and SJL and Wonik became Momentive Quartz Technologies' principal shareholders. As part of the divestment, Wonik exited its stake in Momentive's Silicones business and KCC Corporation became Momentive's majority shareholder. With the sale of KCC's Silicones business to Momentive, KCC Corporation will now increase its stake in Momentive to 60%.
Momentive Performance Materials, Inc. is a global leader in silicones and advanced materials, with a 75-year heritage of being first to market with performance applications for major industries that support and improve everyday life. The Company delivers science-based solutions by linking custom technology platforms to customer needs. Momentive Performance Materials Inc. is an indirect wholly owned subsidiary of MOM Holding Company. Additional information about Momentive and its products is available at www.momentive.com.
SOURCE Momentive Performance Materials Inc.
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