Huntsman Completes Sale of Venator Shares
Huntsman Corporation announced late last month that it has completed the sale of approximately 42.4 million shares of Venator Materials PLC to funds advised by SK Capital Partners LP.
In the deal, the company received $100 million in cash, including $8 million for a 30-month option for the sale of the remaining 9.7 million shares held by Huntsman at $2.15 per share.
“Together with immediate cash tax savings of approximately $150 million from offsetting the capital loss on the sale of Venator shares against the capital gain realized on the sale of our chemical intermediates and surfactants businesses that closed in early January of this year, Huntsman secured an aggregate total related benefit of approximately $250 million in cash this year,” the company said.
Peter Huntsman, CEO and Chairman, added: "We are pleased to have completed this transaction before year end enabling us to reduce our current tax obligations by $150 million. Venator has a bright future as Tio2 markets strengthen and the business continues to improve. I am confident that SK Capital has the capacity to even further enhance Venator's prospects."
Huntsman launched the Venator subsidiary as a public offering in July 2017. At the time, the Houston Chronicle reported that the IPO for the pigments business totaled $500 million.
Venator—which is the Latin name for “hunter,” and a play on the Huntsman company name—focuses largely on titanium dioxide.