Worthington Industries, Inc. has announced that its Worthington Armstrong Venture, WAVE, has agreed to sell its business and operations in Europe, Middle East, Africa and Asia, to Knauf Group. It is part of a broader transaction with Armstrong World Industries, the other partner in the WAVE joint venture.
The agreement includes the sale of WAVE businesses and operations in the United Kingdom, France, China and India. The WAVE and AWI businesses and operations in the Americas are not part of this agreement. Worthington expects to realise approximately US$45 million for its 50% share of the WAVE operations being sold. Once completed, the sale is expected to reduce Worthington’s share of equity income from WAVE by approximately US$5 million per year. The transaction is subject to regulatory approvals and other customary closing conditions and is anticipated to close in mid-2018.
“The returns from the international business at WAVE have always been challenging, and the sale will allow WAVE leadership to focus on expanding market leading business in the US where growth opportunities and returns are more attractive,” said John McConnell, Chairman and CEO of Worthington Industries.
“The strength of our operations has been in the Americas and we believe that geographic market has tremendous potential,” said Rose Mary Clyburn, WAVE President. “This transaction will allow us to focus our resources on our Americas total ceiling solutions and accelerate our strategy.”
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/20112017/wave-to-sell-european-and-pacific-rim-businesses/