16 November 2012 17:13 [Source: ICIS news]
HOUSTON (ICIS)--NOVA Chemicals announced on Friday it is terminating its letter of intent for Canada-based PFB Corporation to acquire NOVA's performance styrenics business.
Negotiations for the sale, which would have included NOVA's expandable polystyrene (EPS) and ARCEL resins products, have been delayed several times since the letter of intent was announced in May 2012.
Just last week during its third-quarter conference call, NOVA CEO Randy Woelfel said the company expected to close the deal to sell the business in early 2013.
However, in a statement released on Friday, NOVA said it had become apparent to both companies that PFB would be unable to take "certain steps" necessary to complete the planned expansion of PFB's vertically integrated construction materials business in the US.
"We are disappointed that this transaction with PFB was not successful, but [we] will move forward, focusing on performance and continuous improvement," said Woelfel.
NOVA Chemicals will retain and continue to operate its performance styrenics business, according to the release.
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