Ingevity Corporation announced on September 4, 2025, that it has entered into a definitive agreement to sell its North Charleston crude tall oil (CTO) refinery assets and the majority of its Performance Chemicals Industrial Specialties product line to Mainstream Pine Products, LLC. This all-cash transaction is expected to yield net, after-tax proceeds of approximately $110 million at closing, with a potential contingent payment ranging from $0 to $19 million.
The divestiture is a significant milestone aimed at reducing portfolio volatility, strengthening Ingevity’s margin and cash flow profile, and enhancing future strategic optionality. The proceeds from the transaction are intended to accelerate deleveraging and provide additional capital allocation flexibility for the company.
The transaction is subject to customary closing conditions and is anticipated to close by early 2026. As part of the agreement, Ingevity will enter into a supply agreement with Mainstream for refinery products to support its Road Technologies product line and a toll-manufacturing agreement for certain Industrial Specialties products, ensuring continued operational support.
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