SPARTANBURG, S.C. (March 16, 2009)—Synalloy Corp. has sold its Organic Pigments L.L.C. subsidiary to Spectra Colorants Inc. of Union, S.C., for an undisclosed amount.
The deal calls for Synalloy to continue to produce pigments for up to a year. Organic Pigments will continue to produce and sell chemical dispersions using existing equipment, and plans to introduce new dispersions targeted for the latex and rubber industry.
Spectra Colorants wasn't named in Synalloy's news release, but a local news report said it was the purchaser of the business. Spectra produces color pigments, plastics materials and resin, plastic product coloring and finishing oils, among other items.
Synalloy—which makes specialty chemicals, stainless steel pipe, vessels and processing equipment—said the divestment will free up resources and working capital for its remaining specialty chemical operations.