Kemira, a leading water treatment chemical manufacturer, is reportedly divesting its suite of chemicals used in petroleum production and processing to Sterling Specialty. This strategic move marks a significant shift for Kemira as it continues to refine its corporate direction and focus on its core capabilities within the broader chemical industry. More details about the deal, including the potential financial implications, have yet to be released by either party.
1. Water treatment chemical manufacturer, Kemira, is divesting its suite of chemicals used in petroleum production and processing to Sterling Specialty.
2. This strategic move will help Kemira refine its corporate direction and focus on its core capabilities within the broader chemical industry.
3. The chemicals being sold are essential for crude oil extraction, refining, and transportation, making petroleum products viable and usable for various purposes.
4. These chemicals also play a significant role in maintaining the quality of petroleum products, ensuring safety during transportation, and extending the lifespan of petroleum-associated infrastructure.
5. The sale follows an in-depth internal review intended to align Kemira's business model with their strategic objectives.
In 2020, Kemira's revenue from the oil and gas sector was approximately €230 million, which was approximately 10% of its total revenue.
Kemira's portfolio that is being sold to Sterling Specialty consists of a wide array of chemicals used in the production and processing of petroleum. These chemicals are integral to various processes, including crude oil extraction, refining, and transportation. Kemira's expansive chemical range acts as industry key facilitators, making petroleum products viable and usable for a multitude of purposes. They play a pivotal role in maintaining the quality of petroleum products, ensuring safety during transportation, and extending the lifespan of infrastructure associated with petroleum. The decision to sell this asset follows an in-depth internal review, geared towards aligning Kemira's business model with their strategic objectives.