Ashland Announces Strategic Performance Review
WILMINGTON, Del., May 25, 2021 (GLOBE NEWSWIRE) – Ashland Global Holdings Inc. (NYSE: ASH), today announced a strategic review of its performance adhesives division. Ashland intends to evaluate all options regarding the business unit, including a potential sale. This decision is consistent with the company’s strategy to develop its portfolio of integrated additive ingredients focused on its leadership positions in its core businesses of the pharmaceutical, personal care and coatings industry.
“Ashland’s Performance Adhesives business unit has demonstrated exceptional financial performance with a strong and dedicated sales team that excels at providing solutions in key niche markets,” said Guillermo Novo, President and CEO of ‘Ashland. “The company provides value products with differentiated performance to customers in a variety of applications and markets. The team recently introduced innovations that offer exciting growth potential for this unique company. “
Novo said he expects the combination of high availability of financing, low interest rates and improving global macroeconomic conditions to create the backdrop for a potential sale of the business unit. .
The company plans to increase the deployment of capital to its core additives portfolio comprising life sciences, personal care, and household and specialty additives. Priority will be given to expanding its high-value pharmaceutical and personal care businesses to enhance shareholder value through improved margins and targeted deployment of growth capital, including growth capital. any additional acquisitions.
Ashland recently acquired the Schülke & Mayr personal care business, which underscores the company’s growth strategy in its main end markets. Integration is proceeding as planned.
As Ashland continues to intensify its commitment to the environment, social and governance (ESG), the company is increasing its development of differentiated ingredient innovations and unique personalized specialty solutions for responsible growth. aligned with consumer market trends. Solving complex challenges for customers over the long term will help further amplify efficiency, refine usability, add appeal, ensure integrity and improve profitability of their products and applications.
Ashland plans to complete the strategic review by the end of calendar year 2021. The company has retained Citi to assist with the strategic review process.
Ashland Global Holdings Inc. (NYSE: ASH) is a leading specialty materials company with a conscious and proactive mindset for sustainability. The company serves customers in a wide range of consumer and industrial markets, including adhesives, architectural coatings, automotive, construction, energy, food and beverage, nutraceuticals, personal care and products. pharmaceuticals. Around 4,200 passionate and tenacious solvers – from renowned scientists and research chemists to talented engineers and plant operators – work to develop practical, innovative and elegant solutions to complex problems for customers in more than 100 countries. Visit ashland.com and ashland.com/sustainability to learn more.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Ashland has identified some of these forward-looking statements with words such as “anticipates”, “believes”, “expects”, “estimates”, “is probable”, “predicted”, “plans”, “forecasts”, “objectives”. “,” “May”, “will”, “should”, “intends” and “intends” and the negative of these words or other comparable terminology. These forward-looking statements include, but are not limited to , statements relating to our expectation to execute the strategic alternatives successfully or that completion of the process will enable Ashland to successfully focus on its core business. In addition, Ashland may from time to time make forward-looking statements in its annual reports, quarterly reports and other documents filed with the SEC, press releases and other written and oral communications. These forward-looking statements are based on Ashland’s expectations and assumptions, as of the date on which such statements are made, concerning opera performances Ashland’s future financial conditions and condition, the strategic and competitive advantages of the expected acquisition, as well as the economy and other future events. or the circumstances. Ashland’s expectations and assumptions include, but are not limited to, internal forecasts and analyzes of current and future market conditions and trends, management plans and strategies, operational efficiency and economic conditions (such as prices, supply and demand, the cost of raw materials and the ability to recoup increases in the cost of raw materials through price increases), as well as the risks and uncertainties associated with the following: Debt materiality of Ashland (including the possibility that such indebtedness and related covenants could adversely affect Ashland’s future cash flows, results of operations, financial condition and ability to repay indebtedness ); the impact of any acquisitions and / or divestitures Ashland has made or may make, including the acquisition of the personal care business of Schülke & Mayr (including the possibility that Ashland may not realize the expected benefits of these transactions); and inclement weather (including the recent storm off the US Gulf of Mexico coast), natural disasters, public health crises (including the current COVID-19 pandemic), and lawsuits and legal claims (including questions environmental and asbestos). Various risks and uncertainties may cause actual results to differ materially from those stated, projected or implied by any forward-looking statement, including, without limitation, the risks and uncertainties affecting Ashland which are described in the most recent Ashland Form 10-K (including Section 1A Risk Factors) filed with the SEC, available on Ashland’s website at http://investor.ashland.com or on the SEC website at http://www.sec.gov. Ashland believes its expectations and assumptions to be reasonable, but there can be no assurance that the expectations reflected herein will be achieved. Except as required by law, Ashland assumes no obligation to update any forward-looking statements made in this press release, whether as a result of new information, future events or otherwise. Information on Ashland’s websites is not incorporated or is not a part of this press release.
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