Ingevity Completes Sale of North Charleston Refinery Assets for $110M
Ingevity announced the completion of the previously disclosed sale of its North Charleston Crude Tall Oil refinery assets and the majority of its Performance Chemicals Industrial Specialties product line to Mainstream Pine Products. Per the terms of the agreement, the all-cash transaction includes $110M at closing plus potential contingent consideration ranging from $0 to $19M, subject to the achievement of future business performance milestones. The transaction is subject to customary adjustments. The transaction marks a pivotal step in reshaping Ingevity's overall portfolio, as outlined at the company's December 8 investor event. By exiting its remaining CTO-based product lines - while retaining the Pavement Technologies business and other lignin-based dispersant products - the company is sharpening its focus on higher-margin specialty applications in activated carbon and pavement technologies, consistent with its strategic priorities. The CTO refinery assets included in the transaction are co-located on the campus of Ingevity's North Charleston, South Carolina, Performance Chemicals manufacturing facility.
Discover Tomorrow's Bullish Stocks Today
Analyst Views on NGVT
About NGVT
About the author
Ingevity Completes $110 Million Sale of North Charleston CTO Refinery Assets
- Asset Sale Completion: Ingevity has finalized the sale of its North Charleston Crude Tall Oil refinery assets and the majority of its Performance Chemicals Industrial Specialties product line for $110 million, with an additional potential contingent consideration of up to $19 million, aimed at simplifying its business structure and focusing on high-margin specialty applications.
- Strategic Restructuring: This transaction marks a significant step in Ingevity's strategic plan outlined during its December 8 investor event, as the company exits its remaining CTO product lines to concentrate on higher-margin businesses like activated carbon and pavement technologies, thereby enhancing overall operational efficiency.
- Business Focus: By retaining its Pavement Technologies business and other lignin-based dispersant products, Ingevity ensures it can continue to offer a diverse product range while strengthening its competitive position in the specialty materials market, aligning with its long-term strategic objectives.
- Market Outlook: This transaction not only enhances the company's financial flexibility but also provides funding for future investments and innovations, further solidifying Ingevity's leadership in the sustainable materials sector.
CHASM and Ingevity Strengthen Partnership with Licensing Agreement to Ensure Local CNT Supply Chain for EV Battery Gigafactories in North America and Europe
CHASM and Ingevity Partnership: CHASM Advanced Materials has signed a license agreement with Ingevity Corporation for the production of carbon nanotube (CNT) additives for batteries, enhancing their collaboration to support the EV battery industry in North America and Europe.
Technology Validation: CHASM's NTeC®-E CNT additives have been validated by Ingevity's labs and third-party testing, proving to be more conductive and offering better capacity retention compared to other commercial CNT products.
Supply Chain Security: The partnership aims to establish a reliable, domestically sourced CNT supply chain for the growing electric vehicle battery market, reducing reliance on overseas suppliers.
Innovative Applications: CHASM's CNT technology is designed for integration into various battery chemistries and other applications, contributing to advancements in safety, connectivity, and sustainability in multiple industries.
