PITTSBURGH, March 11, 2020 /PRNewswire/ -- Koppers
Holdings Inc. (NYSE: KOP), an integrated global provider of treated
wood products, wood treatment chemicals and carbon compounds, today
announced that the shareholders of Fangda Carbon New Material Co.,
Ltd. (Fangda Carbon) have voted to approve the purchase of
Koppers (Jiangsu) Carbon Chemical
Company Limited (KJCC), achieving the first milestone in
completing the sale of KJCC as announced on February 18, 2020.
KJCC, a tar distillation facility located in Pizhou City,
Jiangsu Province, China, is 75 percent owned by Koppers and 25
percent owned by Yizhou Group Company Limited. The total
purchase price is $107 million,
adjusted for cash, working capital at closing and adjusted to the
extent certain capital expenditures of KJCC are incurred prior to
closing and indebtedness of the transaction. Koppers expects to
realize approximately $65 million of
net cash, after noncontrolling interest, taxes and expenses, and
plans to apply the cash proceeds toward debt reduction.
Commenting on the news, James A. Sullivan, Executive Vice
President and Chief Operating Officer, said, "We are encouraged
that Fangda Carbon shareholders have voted to approve this sale and
are now able to move on to the required regulatory filings.
We are on track to close the transaction by the end of August,
which is within our six-month expected timeframe. The
divestiture helps Koppers to sharpen the focus on our portfolio of
wood-based technologies which are built on our company's purpose of
protecting what matters and preserving the future."
About Koppers
Koppers, with corporate headquarters in
Pittsburgh, Pennsylvania, is an
integrated global provider of treated wood products, wood treatment
chemicals and carbon compounds. Our products and services are
used in a variety of niche applications in a diverse range of
end-markets, including the railroad, specialty chemical, utility,
residential lumber, agriculture, aluminum, steel, rubber, and
construction industries. Including our joint ventures, we
serve our customers through a comprehensive global manufacturing
and distribution network, with facilities located in North America, South
America, Australasia, China
and Europe. The stock of Koppers Holdings Inc. is publicly
traded on the New York Stock Exchange under the symbol "KOP."
For more information, visit us on the Web: www.koppers.com.
Questions concerning investor relations should be directed to
Michael Zugay at 412 227 2231 or
Quynh McGuire at 412 227 2049.
For
Information:
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Michael J. Zugay,
Chief Financial Officer
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412 227
2231
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ZugayMJ@koppers.com
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SOURCE Koppers