PolyOne Corp. (POL), a premier provider of specialized polymer materials, services and solutions, reported signing an agreement to sell its vinyl dispersion, blending and suspension resin assets to Mexichem, S.A.B. de C.V. for $250 million cash. The pending sale's impact to PolyOne earnings in 2013 is dependent on numerous factors, including timing of the transaction's close. It is anticipated that dilution on an annualized basis would be around $0.22 a share.
PolyOne's resin assets are part of its Performance Products and Solutions segment and generated revenues of $147 million in 2012.
PolyOne's chairman, president and chief executive noted, "While the sale is dilutive to earnings in the near term, we remain committed to our 2015 earnings target of $2.50 per share. We believe it is in the best interests of our customers, associates and our shareholders to focus on our core competence of material science formulation for specialty applications, rather than base resin production. This is entirely consistent with our mix improvement strategy which has delivered substantial shareholder value over the last five years."
The sale is subject to satisfaction of regulatory requirements and other customary closing conditions.
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