PPG Sells Assets of Flat Glass Business to Vitro
July 22, 2016
PPG yesterday announced that it is selling the assets of its flat glass manufacturing and glass coatings operations to Vitro, a Mexico-based manufacturer of flat glass and specialty products. The transaction is expected to close by the end of 2016.
Under the terms of the agreement, PPG will divest its entire flat glass manufacturing and glass coatings operations, including production sites located in Fresno, California; Salem, Oregon; Carlisle, Pennsylvania; and Wichita Falls, Texas; four distribution/fabrication facilities located across Canada; and a research-and-development center located in Harmar, Pennsylvania, near Pittsburgh. PPG’s flat glass business includes approximately 1,200 employees.
“This transaction represents the end of an historic era for PPG as a manufacturer of flat glass, and it is another major step in our portfolio transformation to focus on paints, coatings and specialty materials,” Michael H. McGarry, PPG president and chief executive officer, said in the release. “Upon completion of this transaction, the flat glass operations will become part of a company that is focused on growing its core glass business.”
PPG will receive approximately $750 million in gross cash proceeds. Upon completion of this transaction and PPG’s recently announced transaction to divest its European fiber glass operations, approximately 98 percent of PPG’s business portfolio will be focused on paints, coatings and specialty materials, according to the release.
PPG was founded as a glass company 133 years ago,
Graham acknowledges both U.S. Glass and e-glass weekly for their contributions to this article.