29 March 2013 21:47 [Source: ICIS news]
HOUSTON (ICIS)--US specialty chemicals producer OM Group said on Friday it has completed the divestiture of its advanced materials business and sale of its downstream business in a $325m (€254m) cash deal to joint venture Freeport Cobalt.
Freeport-McMoran Copper & Gold (FCX) is the operator of the joint venture with a 56% interest, FCX said. Lundin Mining holds a 24% interest, while La Generale des Carrieres et des Mines (Gecamines) the remaining 20%.
In addition, OM Group said it has also transferred its interest in Democratic Republic of the Congo-based GTL, a cobalt processing joint venture with Gecamines and Group George Forrest of Belgium/DRC.
OM Group will continue to serve as an intermediary supplier between GTL and Freeport Cobalt for two years and be a US distributor of refined cobalt products for one year, the company said.
In addition to the cash deal, OM Group will receive about $30m for cash retained in the business, as well as potential future cash consideration of up to $110m.
($1 = €0.78)
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