We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Arkema Plans to Sell Plastic Additives Business to Praana
Read MoreHide Full Article
Key Takeaways
Arkema will divest impact modifiers and processing aids to Praana; the assets generated 44 million in 2024.
ARKAY's sale covers global MBS copolymers and European and Asian AIMPA from its Coating Solutions segment.
Arkema will sell the Vlissingen, Netherlands, plant with 50 employees, and keep the Mobile plant.
Arkema S.A. (ARKAY - Free Report) has announced a proposed sale of part of its impact modifiers business and processing aids to the Indian group Praana to streamline and increase focus on its strategic activities. The divestment also covers the global scope for Methyl Methacrylate Butadiene Styrene (MBS) copolymers as well as the European and Asian scope for acrylic copolymers (AIMPA).These businesses are a part of Arkema’s Coating Solutions segment and generated sales of €44 million in 2024.
Arkema will divest its production facility in Vlissingen, the Netherlands, which employs 50 people. The company will keep the Mobile plant, along with its American AIMPA businesses.
The plastic additives produced there are used to enhance impact resistance and improve productivity in extrusion and molding processes for PVC and for a number of composites used in the construction and packaging sectors.
The prospective buyer, Praana, is a leader in specialty chemicals and composite materials production. Its portfolio of businesses comprises Sterling Specialty Chemicals, Galata Chemicals, Artek Surfin Chemicals and 3B Fibreglass. It offers solutions for construction, automotive, textile, cleaning, personal care and industrial markets.
The proposed sale is expected to be finalized in the first quarter of 2026, subject to preliminary information and consultation process involving the employee representative bodies in the Netherlands. Arkema continues to steer forward on its strategy to refocus on strategic and higher value-added activities in Specialty Materials.
ARKAY’s shares have lost 17.8% over the past year compared with the industry’s 27.1% decline.
Image Source: Zacks Investment Research
ARKAY’s Zacks Rank & Key Picks
ARKAY currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Basic Materials space are Kinross Gold Corporation (KGC - Free Report) , Fortuna Mining Corp. (FSM - Free Report) and Equinox Gold Corp. (EQX - Free Report) .
The Zacks Consensus Estimate for KGC’s current-year earnings is pegged at $1.67 per share, indicating a rise of 145.59%. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing once, with an average surprise of 17.37%. KGC’s shares have gained 212.8% over the past year.
The Zacks Consensus Estimate for FSM’s current fiscal-year earnings is pinned at 76 cents per share, indicating a 65.22% year-over-year increase. Its shares have surged 133.5% over the past year.
The Zacks Consensus Estimate for EQX’s current-year earnings stands at 54 cents per share, implying a 170% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed twice, with the average earnings surprise of 87%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Arkema Plans to Sell Plastic Additives Business to Praana
Key Takeaways
Arkema S.A. (ARKAY - Free Report) has announced a proposed sale of part of its impact modifiers business and processing aids to the Indian group Praana to streamline and increase focus on its strategic activities. The divestment also covers the global scope for Methyl Methacrylate Butadiene Styrene (MBS) copolymers as well as the European and Asian scope for acrylic copolymers (AIMPA).These businesses are a part of Arkema’s Coating Solutions segment and generated sales of €44 million in 2024.
Arkema will divest its production facility in Vlissingen, the Netherlands, which employs 50 people. The company will keep the Mobile plant, along with its American AIMPA businesses.
The plastic additives produced there are used to enhance impact resistance and improve productivity in extrusion and molding processes for PVC and for a number of composites used in the construction and packaging sectors.
The prospective buyer, Praana, is a leader in specialty chemicals and composite materials production. Its portfolio of businesses comprises Sterling Specialty Chemicals, Galata Chemicals, Artek Surfin Chemicals and 3B Fibreglass. It offers solutions for construction, automotive, textile, cleaning, personal care and industrial markets.
The proposed sale is expected to be finalized in the first quarter of 2026, subject to preliminary information and consultation process involving the employee representative bodies in the Netherlands. Arkema continues to steer forward on its strategy to refocus on strategic and higher value-added activities in Specialty Materials.
ARKAY’s shares have lost 17.8% over the past year compared with the industry’s 27.1% decline.
Image Source: Zacks Investment Research
ARKAY’s Zacks Rank & Key Picks
ARKAY currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Basic Materials space are Kinross Gold Corporation (KGC - Free Report) , Fortuna Mining Corp. (FSM - Free Report) and Equinox Gold Corp. (EQX - Free Report) .
At present, KGC sports a Zacks Rank #1 (Strong Buy), while FSM and EQX carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for KGC’s current-year earnings is pegged at $1.67 per share, indicating a rise of 145.59%. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing once, with an average surprise of 17.37%. KGC’s shares have gained 212.8% over the past year.
The Zacks Consensus Estimate for FSM’s current fiscal-year earnings is pinned at 76 cents per share, indicating a 65.22% year-over-year increase. Its shares have surged 133.5% over the past year.
The Zacks Consensus Estimate for EQX’s current-year earnings stands at 54 cents per share, implying a 170% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed twice, with the average earnings surprise of 87%.