Huntsman Corp. has entered into a definitive agreement to sell its chemical intermediates businesses, which includes propylene oxide/methyl tertiary butyl ether, and its surfactants businesses to Indorama Ventures in a transaction valued at $2.076 billion, comprising a cash purchase price of $2 billion-plus the transfer of up to approximately $76 million in net underfunded pension and other post-employment benefit liabilities.

The $2.076 billion transaction value represents a last-12-months-adjusted EBITDA multiple of approximately eight times, which includes retained selling, general and administrative expense costs of about $30 million, a portion of which Huntsman expects to eliminate overtime. Under the terms of the agreement, Indorama Ventures would acquire Huntsman’s manufacturing facilities located in Port Neches, Dayton and Chocolate Bayou, Texas; Ankleshwar, India; and Botany, Australia. The transaction is subject to regulatory approvals and other customary closing conditions and is expected to close near year-end.

For more information, visit www.huntsman.com or www.indoramaventures.com.