INEOS Enterprises enters agreement to sell composites business

INEOS Enterprises (Channahon, Ill., U.S.) has entered into an agreement for the sale of the INEOS Composites (Dublin, Ohio, U.S.) business to KPS Capital Partners LP (New York, N.Y., U.S.) for an estimated consideration of €1.7 billion at completion. According to INEOS, this is an attractice offer that it believes aligns with the potential future opportunities for the composites business. The proposed deal is expected to be completed in the first half of 2025.

INEOS Composites is a global manufacturer of unsaturated polyester (UPR) resins, vinyl ester resins and gelcoats used in the production of composites for a wide range of applications across large global end markets. The business sells a broad range of resins that enable customers to optimize certain characteristics of their products, including corrosion, fire and ultraviolet resistance; water and chemical resistance; thermal and electrical insulation; impact and scratch resistance; and high strength-to-weight ratios.

The business has combined sales of more than €800 million a year and employs 900 employees across 17 sites and three technology centres in Europe, North and South America, Asia and the Middle East.

“Composites has been part of INEOS Enterprises for the past 5 years, during which time it has achieved significant improvements in safety and financial performance,” Ashley Reed, chairman of INEOS Enterprises, says. “Furthermore, it has solidified its market position through enhanced product quality, consistency and strengthened operational and commercial capabilities, ensuring a strong foundation for further future growth.”

KPS manages investment funds with approximately $21.4 billion of assets under management (as of Sept. 30, 2024). The company has a strong track record of acquisitions and investments in manufacturing and industrial companies across a range of industries, including basic materials, branded consumer, healthcare and luxury products, automotive parts, capital equipment and general manufacturing.

“We will leverage KPS’ successful, multi-decade experience of investing in process industries, along with our commitment to manufacturing excellence and global network, to drive profitability and create an entrepreneurial culture centred on innovation, continuous improvement and customer experience,” adds Raquel Vargas Palmer, managing partner of KPS Capital Partners. “We look forward to partnering with CEO Andrew Miller and the INEOS Composites team to accelerate the company’s value creation opportunities.”