Waterford, New York – Momentive Performance Materials Inc. is to acquire KCC Corp.’s silicones business in Korea and the UK as well as its sales operations in China, Momentive has announced.
The deal, it said 6 Jan, will move KCC’s Silicones business from KCC Corp. – Momentive’s majority shareholder – to Momentive, consolidating the companies’ combined capabilities and expertise in advanced silicones.
Momentive develops advanced silicone and specialty products for applications in healthcare, telecoms, electronics, personal care, construction, transportation, agriculture, energy, and many other industries.
Highlighting synergies from the acquisition, Momentive president and CEO Sam Conzone said: “It expands our technological capabilities and geographic footprint while also substantially strengthening our position in the Asia-Pacific region.”
Momentive recently announced a series of strategic steps to transform itself into a “leading specialty silicones business”, including the recent sale of its consumer sealants business to Germany-based Henkel.
The group also signalled its phased exit from commodity-based products at the Waterford, New York site, while committing to invest $15 million 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.
Momentive’s parent company was acquired by KCC Corp., SJL Partners LLC and Wonik QnC Corp. in 2019. On 1 Jan 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 Corp. became Momentive’s majority shareholder.
With the sale of KCC’s Silicones business to Momentive, KCC Corp. will now increase its stake in Momentive to 60%.