Texas-headquartered Huntsman Corporation plans to conduct a strategic review of it Textile Effects Division, which is headquartered in Singapore, including the division’s possible sale, in the first quarter of 2022.
“We have been transparent about our continued evaluation of divestment opportunities that are both in line with our strategic goals and in the best interests of our shareholders,” said Peter R. Huntsman, chairman, president and CEO. “We believe now is the right time to explore options for Textile Effects. We expect that the division will generate close to US$ 100 million of adjusted EBITDA in 2021, recovering much of what was lost due to Covid-19. While its value-added portfolio of sustainable products is consistent with Huntsman’s strategic direction, there may well be an external party that recognises the value of these extremely attractive assets and will be a better owner for them.”
Huntsman has not set a timetable or a deadline for the conclusion of its evaluation of strategic alternatives for the Textile Effects Division but “plans to move expeditiously”.
Huntsman Textile Effects is a leader in textile dyes, chemicals and digital inks and at the forefront of developing sustainable textiles with advanced technology such as non-fluorinated durable water repellence, and eco-friendly digital printing.
Its award-winning Avitera reactive dyeing technology helps textile mills increase yield, improve productivity and reduce processing costs by significantly reducing water and energy consumption. The division operates 13 synthesis and formulation production sites in Asia, Europe and the Americas.