INEOS Enterprises has completed the sale of its composites business to KPS Capital Partners, LP for approximately €1.7 billion. This transaction is seen as a strategic move that aligns with the business's future growth potential.
The composites business generates over €800 million in annual sales and employs around 900 people across 17 locations, including three technology centers in Europe, North and South America, Asia, and the Middle East. Andrew Miller will remain as CEO under KPS's ownership, ensuring continuity in leadership.
This business holds a prominent global position in producing resins and gelcoats, which are essential for creating strong, lightweight composite plastics used in various products such as automobiles, boats, buildings, and electronics. The materials enhance product features, including fire and water resistance, UV protection, insulation, and durability.
Ashley Reed, Chairman of INEOS Enterprises, expressed satisfaction with the sale, stating that KPS will build on the strong foundation established by INEOS over the past five years. He is confident that the business will continue to thrive under KPS's ownership.
KPS Capital Partners manages investment funds with approximately $19.7 billion in assets as of December 31, 2024. The firm has a solid track record in acquiring and investing in manufacturing and industrial companies across various sectors, including basic materials, healthcare, and automotive parts.
Raquel Vargas Palmer, a Managing Partner at KPS, emphasized the excitement surrounding the acquisition of INEOS Composites. She highlighted the company's strong market position and loyal customer base, which reflect its product quality and reliability. KPS plans to leverage its extensive experience in process industries to provide strategic support and capital, aiming to enhance commercial and operational excellence.
The sale allows INEOS Enterprises to concentrate on other business areas while KPS brings valuable expertise to the composites sector. The ongoing leadership of Andrew Miller ensures stability and a clear strategic direction for the business. With a global reach, the composites business offers KPS a diverse portfolio across multiple regions and markets.
Overall, this transaction is expected to benefit both INEOS Enterprises and the composites business under KPS's ownership, paving the way for continued innovation and growth in the composite materials industry. KPS's commitment to operational excellence and strategic support indicates a promising future for INEOS Composites.
