Huntsman expands facility in Hungary amid market downturn
Huntsman Corp's stock fell 10.25% as it hit a 20-day low amid a broader market decline, with the Nasdaq-100 down 2.24% and the S&P 500 down 2.11%.
The company celebrated the grand opening of its expanded Performance Products manufacturing facility in Petfurdo, Hungary, significantly increasing global capacity and enhancing flexibility in the polyurethane, coatings, and electronics sectors. This expansion reflects Huntsman's commitment to sustainability and operational excellence, supported by an investment grant from the Hungarian government, showcasing confidence in the company's future growth.
Despite the current market challenges, this expansion positions Huntsman to meet rising global demand for its JEFFCAT® amine catalysts, which are essential in various everyday applications, indicating a strategic move towards long-term value creation.
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- Transaction Value: Huntsman Corporation has sold its Gomet business located in Azeglio, Italy, to Trelleborg Group for €42.5 million (approximately $50 million), with proceeds aimed at reducing outstanding borrowings, thereby enhancing the company's financial stability.
- Business Background: Gomet, part of Huntsman's Polyurethanes division, specializes in molded rubber and thermoplastic automotive aftermarket components, generating approximately €24 million in revenue in 2025, indicating its stable performance in the automotive parts market.
- Acquisition History: Acquired in 2014 as part of the Rockwood acquisition, Gomet has been a component of Huntsman's diversified chemical product portfolio, and its sale signifies a strategic shift in the company's focus.
- Financial Advisors: Houlihan Lokey served as the financial advisor for this transaction, while Freshfields LLP provided legal counsel to Huntsman, ensuring the smooth execution of the deal and compliance with relevant regulations.
- Transaction Value: Huntsman Corporation sold its Gomet business located in Azeglio, Italy, to Trelleborg Group for €42.5 million (approximately $50 million), with proceeds aimed at reducing outstanding borrowings, reflecting the company's proactive approach to optimizing its balance sheet.
- Business Background: Gomet, part of Huntsman's Polyurethanes division, specializes in molded rubber and thermoplastic automotive aftermarket components, generating approximately €24 million in revenue in 2025, and the sale allows Huntsman to focus resources on more strategically significant core operations.
- Financial Advisory: Houlihan Lokey served as the financial advisor for this transaction, while Freshfields LLP provided legal counsel, indicating Huntsman's commitment to utilizing professional external support to ensure a smooth transaction process.
- Company Overview: Huntsman is a global manufacturer of chemical products with approximately $6 billion in revenue from continuing operations in 2025, operating over 55 manufacturing and R&D facilities, and the sale of Gomet will further enhance its market position in the chemical industry.
- Dividend Concept Explained: Huntsman Corp (HUN) is set to go ex-dividend on June 15, 2026, for a dividend of $0.087, requiring investors to purchase shares before this date to qualify, which typically results in a stock price drop on the ex-dividend date reflecting the dividend's value.
- Historical Performance Review: Over the last four dividends, HUN's stock price increased by $0.83 in the two weeks leading up to the ex-dividend date, demonstrating the potential for a dividend run, with capital gains exceeding the dividend amount in three out of four instances, indicating the effectiveness of this strategy.
- Diverse Investment Strategies: Investors have varying views on the timeframe for capturing dividend run effects, with some opting to buy and hold for two weeks before the ex-dividend date, while others sell the day before to maximize capital gains, providing flexibility in investment choices.
- Future Outlook: With an implied annualized yield of 2.28%, Huntsman Corp attracts investors looking to leverage dividend run strategies; although past performance does not guarantee future returns, its consistent dividend history makes it a stock worth monitoring.

- Pricing Strategy Strengthened: CEO Peter Huntsman stated that the company's primary commercial priority is to raise prices to offset rising raw material costs due to the Middle East conflict, projecting to offset over $100 million in raw material costs in Q2.
- Demand Exceeds Expectations: Management noted that early Q2 demand has outperformed expectations, driven by seasonality and customers buying ahead of anticipated price increases, although visibility into future order patterns remains limited.
- Margin Recovery Plan: Huntsman aims to restore margins by increasing prices, with the CEO indicating that despite experiencing a downturn over the past three years, the company is actively raising prices to cover raw material costs and expand profit margins.
- European Market Outlook: Management expressed optimism about the European market, expecting positive EBITDA, while remaining cautious about specifics for Q3, emphasizing that demand elasticity and macroeconomic conditions will be critical factors.
- Earnings Call Schedule: Huntsman Corporation will hold a conference call on May 1, 2026, at 10:00 a.m. ET to discuss its Q1 2026 financial results, which is expected to attract significant attention from investors and analysts.
- Financial Data Release: The earnings press release, including financial statements and segment information, will be distributed after market close on April 30, 2026, ensuring timely access to the latest financial status for investors.
- Webcast Access: The conference call will be accessible via a webcast link, allowing investors to engage with the company more transparently and enhancing interaction with stakeholders.
- Company Overview: Huntsman is a global manufacturer of chemical products with approximately $6 billion in revenue for 2025, operating over 55 manufacturing and R&D facilities, demonstrating its robust operational capacity in the global market.









