WATERFORD, N.Y.—South Korean companies KCC Corp., Wonik QnC Corp. and SJL Partners L.L.C. finalized their purchase of MPM Holdings Inc., the parent company of global silicones supplier Momentive Performance Materials Inc., on May 15.
Jack Boss, Momentive CEO and president, said the acquisition helps to bolster the company's global position, especially within the silicone market.
"The acquisition, and the potential for greater combination with KCC's silicones division, will further enhance Momentive's global leadership position by expanding our portfolio of products, broadening our geographic reach and strengthening our financial position," Boss said in a statement.
Disclosed in September, the $3.1 billion deal was delayed as a result of the U.S. government shutdown. In a filing with the U.S. Securities and Exchange Commission, Momentive agreed to extend the deadline for merger clearance from proper U.S. authorities until June 13.
Under terms of the agreement, the investor group assumes Momentive's net debt obligations subject to minimum closing cash requirements of $250 million. Momentive stockholders received $32.50 for each share of common stock they own subject to minimum closing cash requirements.
"This is a great outcome for all of our stakeholders, delivering maximum value to our stockholders and positioning Momentive for long-term growth and future job creation that will benefit our talented employees across the globe as well as our customers and suppliers," Boss said.
Momentive previously said the terms were unanimously approved by the Momentive, KCC and Wonik boards of directors; the investment committee of SJL; and by the requisite vote of Momentive's stockholders.
KCC is a Korean chemical engineering, paint and building materials company. Wonik QnC makes and sells quartz and ceramics for silicon wafers. SJL Partners is a private equity investment manager.