Phelps Dodge Corp. announced Nov. 16 it has agreed to sell its Columbian Chemicals Co. subsidiary, a leading manufacturer of rubber and industrial carbon-black products, to a company owned jointly by One Equity Partners, a private equity affiliate of JPMorgan Chase & Co., and South Korean-based DC Chemical Co. Ltd. The transaction is subject to customary closing conditions, including regulatory approvals.
Under the terms of the agreement, Phelps Dodge expects to receive cash proceeds of approximately $600 million, including approximately $115 million of Columbian’s foreign-held cash.
Based in Marietta, GA, Columbian Chemicals Co. is one of the world’s leading producers of carbon black. Columbian owns and operates 12 manufacturing facilities in Brazil, Canada, England, Germany, Hungary, Italy, Korea, Spain and the U.S.