Waterford, New York – A consortium of South Korean companies has finalised the purchase of MPM Holdings Inc., the parent company of global silicones supplier Momentive Performance Materials Inc.
The three firms, KCC Corp., Wonik QnC Corp. and SJL Partners LLC, concluded the $3.1-billion (2.7 billion) agreement on 15 May, Momentive announced in a release.
The acquisition is expected to bolster the company's global position, especially within the silicone market, according to Jack Boss, Momentive CEO and president.
"The acquisition, and the potential for greater combination with KCC's silicones division, will further enhance Momentive's… portfolio of products, broadening our geographic reach and strengthening our financial position," Boss said in a statement.
Disclosed in September, the deal was delayed as a result of the US government shutdown.
In a filing with the US Securities and Exchange Commission, Momentive agreed to extend the deadline for merger clearance from proper US authorities until 13 June.
Under terms of the agreement, the investor group assumes Momentive's net debt obligations subject to minimum closing cash requirements of $250 million.
Momentive stockholders received $32.50 for each share of common stock they own subject to minimum closing cash requirements.
KCC is a Korean chemical engineering, paint and building materials company. Wonik QnC makes and sells quartz and ceramics for silicon wafers. SJL Partners is a private equity investment manager.