Elementis exits talc

Elementis has sold its Talc business to IMI Fabi, an Italian-based global talc manufacturer, in a further move to reposition itself as a pure-play speciality chemicals manufacturer focused on coatings and personal care. The deal gives the sold business an enterprise value of $121 million and net cash proceeds after transaction costs are expected to be around $55 million.

The company noted that this improves its adjusted operating profit margin by approximately 240 base points based on its reported financial results in 2024 and also accelerates the delivery of its 2026 targets. It will also return $50 million to shareholders by way of a share buyback, which will begin “as soon as practicable”.