Solstice to acquire Element Solutions in $14.5 billion deal
The transaction represents a significant acceleration of Solstice’s strategy to build an industry-leading advanced materials platform with increased exposure to high-growth electronics, AI infrastructure and other attractive end markets.
US firm Solstice Advanced Materials and Florida-based specialty chemicals technology company Element Solutions have announced that they have entered into a definitive agreement for Solstice to acquire Element in a cash-and-stock transaction valued at approximately USD 14.5 billion, including the assumption of net debt.
The transaction represents a significant acceleration of Solstice’s strategy to build an industry-leading advanced materials platform with increased exposure to high-growth electronics, AI infrastructure and other attractive end markets, according to a media release.
On a combined basis, Solstice and Element would have full year 2025 net sales of approximately USD 6.8 billion and a 26% adjusted EBITDA margin including run-rate synergies.
The combined company is expected to benefit from greater scale, a full suite of offerings for electronics customers, and an attractive set of specialty material businesses serving numerous attractive end markets. Element adds focused electronics, formulation, and technical service capabilities and a robust technology portfolio that complement Solstice’s strengths in chemistry, application development, refrigerant application solutions, and high-performance materials, the press release said.
“Overall, we believe the combined company will be very well-positioned to benefit from generational tailwinds in high-growth end markets,” said David Sewell, President and CEO of Solstice. “Element brings highly complementary capabilities, deep customer relationships and a technical service-led model that expands how we support customers from early-stage development through high-volume manufacturing.”
“This transaction recognizes that achievement and brings together two great companies with shared attributes — strong market positions, attractive margins, deep technical know-how and excellent people — to accelerate their combined growth,” said Ben Gliklich, Chief Executive Officer of Element Solutions. “We are creating a scaled advanced materials platform with complementary capabilities to broaden our offerings in our core electronics markets and deliver differentiated solutions to customers.”
Solstice Advanced Materials was created through the 2025 spin-off of the former advanced materials business of Honeywell International Inc.
