Cabot Corporation Signs Agreement to Divest Purification Solutions Business

November 26, 2021


Cabot Corporation Signs Agreement to Divest Purification Solutions Business

Boston, MACabot Corporation (NYSE: CBT) announced today that the company entered into an agreement to sell its Purification Solutions business to One Equity Partners, a middle market private equity firm, in a transaction valued at $111 million, subject to certain debt-like and other closing adjustments. Cabot’s Purification Solutions business is a global leader in the research, development, manufacturing, and sale of high-performing activated carbon used in a range of environmental, health, safety, and industrial applications.

“We are pleased to have reached an agreement with One Equity Partners as they have a proven track record of advancing market-leading industrial companies and are committed to the future success of the business,” said Sean Keohane, Cabot president and chief executive officer. “At the same time, this transaction will allow us to focus resources on our core business segments and invest in areas where we see strong future growth and innovation potential for Cabot, such as Battery Materials.”

“Cabot’s Purification Solutions business is a premier activated carbon company with unique service offerings and strong manufacturing and technology capabilities,” said Joe Huffsmith, Managing Director, OEP. “We believe the business is well-positioned to begin executing on a number of strategic growth initiatives. We look forward to partnering with the talented team and providing the Company with the resources to accelerate its growth and build it into a global leader in activated carbon.”

In fiscal 2021, the Purification Solutions business generated $257 million in revenue. Cabot anticipates that the transaction will close during its second fiscal quarter of 2022, subject to customary closing conditions and applicable works council consultations. The Company expects to recognize a pre-tax impairment charge in the range of $155 million to $165 million in the first fiscal quarter of 2022 in relation to the sale with net cash proceeds from the transaction expected to be approximately $80 million. Cabot’s full year 2022 adjusted EPS outlook of $5.20-$5.60 remains unchanged.

Credit Suisse is acting as exclusive financial advisor, and K&L Gates is acting as legal counsel to Cabot in connection with the transaction.

Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance materials company headquartered in Boston, Massachusetts. The company is a leading provider of carbon blackspecialty carbonsactivated carbonelastomer compositesinkjet colorantsmasterbatches and conductive compoundsfumed silica and aerogel. For more information on Cabot, please visit the company's website at

Vanessa Craigie
Corporate Communications
(617) 342-6015
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