MALVERN, PA — PQ Group Holdings Inc. (NYSE: PQG), a leading integrated and innovative global provider of specialty catalysts, chemicals and services, recently today that it completed the sale of its Performance Materials business for a purchase price of $650 million, subject to customary closing adjustments, to an affiliate of The Jordan Company, L.P. (“TJC”), a U.S. middle-market private equity firm (www.thejordancompany.com) that was founded in 1982.
With the sale of Performance Materials at an attractive valuation, we take a significant step in reshaping the PQ portfolio toward a higher-margin, higher-growth-potential business,” said Belgacem Chariag, PQ’s Chairman, President and Chief Executive Officer. “We are also pleased to expand our capital allocation with a special dividend, and we look forward to continuing to execute our strategic transformation in 2021, unlocking greater value for shareholders.”
The company expects to use after tax cash proceeds from the sale of its Performance Materials business to reduce its debt by approximately $465 million. In addition, the company’s Board of Directors has declared a special cash dividend of $250 million, or $1.80 per share, payable on December 29, 2020 to shareholders of record as of the close of business on December 21, 2020.
Goldman Sachs & Co., LLC and Harris Williams LLC are serving as financial advisors and Ropes & Gray LLP is serving as legal counsel for PQ. Kirkland & Ellis LLP is serving as legal counsel and Barclays Capital, Inc. is serving as financial advisor for TJC.
Thanks for visiting! MyChesCo brings reliable information and resources to Chester County, Pennsylvania. Please consider supporting us in our efforts. Your generous donation will help us continue this work and keep it free of charge. Show your support today by clicking here and becoming a patron.