Ashland to sell performance adhesives business unit

Ashland Global Holdings announced a strategic review of its Performance Adhesives business unit as it intends to evaluate all possibilities related to the business unit, including the possibility of a sale
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This decision is consistent with the company's strategy to develop its comprehensive portfolio of additive ingredients focused on its leadership in its core pharmaceutical, personal care and coatings businesses
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Ashland expects to complete the strategic review by the end of the 2021 calendar year
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Guillermo Novo, chairman and CEO of Ashland Group, said, "Ashland's Performance Adhesives business unit has demonstrated excellent financial performance, with a strong and dedicated business team that excels in delivering in key niche markets.
Solutions
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This business has valuable products that provide customers with differentiated performance in a variety of applications and markets
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The team has recently launched several innovations that provide exciting growth potential for this unique business
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Novo said he expects strong funding capacity, low interest rates and improving global macroeconomic conditions to create a favorable backdrop for a potential sale of the business unit
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The company plans to increase capital deployment to its core additive portfolio, which includes life sciences, personal care and household and specialty additives
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The company will prioritize expanding its high-value pharmaceutical and personal care businesses to enhance shareholder value through improved margins and focused growth capital deployments, including potential additional acquisitions
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Ashland's recent acquisition of the Schulke & Mayr personal care business underscores the company's growth strategy in its core end markets
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Integration work is progressing as planned
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As Ashland continues to strengthen its commitment to environmental, social and governance (ESG), the company is ramping up the development of differentiated ingredient innovations and unique custom specialty solutions to enable responsible consumer market trends growth
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Ashland's pressure-sensitive adhesives are used in many applications, such as fabricated prefabricated components, wood products, automobiles and trucks, food packaging, flat films, marine, non-food packaging, tapes and labels, window films and wound care
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The company has hired Citibank to assist with the strategic review
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