Gemspring Capital Management (a middle-market private equity firm) announced that an affiliate has entered into a definitive agreement to acquire The Goodyear Tire & Rubber Company’s polymer chemicals business. The deal includes two operating plants located in Houston and Beaumont, Texas, and a research and development facility located in Akron, Ohio. Goodyear will retain its Chemical facilities in Niagara Falls, New York, and Bayport, Texas, and its rights to the products produced at such facilities.
Goodyear Chemical, based in Akron, Ohio, is a leading producer of synthetic rubber, offering a broad range of products in North America. And the business serves a wide array of world-class customers, including many of the world’s leading tire manufacturers. Beyond tires, Goodyear Chemical’s products offer differentiated solutions across a diverse set of end markets, such as food, medical, sporting goods, thermoset plastics, adhesives, packaging, and many other consumer and industrial applications.
The deal is subject to regulatory approval, as well as other customary closing conditions and is expected to close by late 2025.
Advisors: Piper Sandler acted as lead financial advisor, Greenhill & Co. served as a financial advisor, and Kirkland & Ellis served as legal counsel to Gemspring on the transaction.
KEY QUOTES:
“We look forward to unlocking the full potential of Goodyear Chemical as a standalone business and supporting its next chapter of growth and innovation. Goodyear Chemical is an industry leader, underpinned by deep customer relationships, a mission-critical product portfolio, a track record of innovation, and incredibly talented employees. We are grateful to the Goodyear team who have driven the success of the business to date and are committed to working closely with Goodyear to ensure a smooth transition for associates, customers, and suppliers.”
Mathew Wallace, Managing Director at Gemspring
“We are excited to advance Goodyear Chemical’s industry positioning by leveraging our strategic, financial, and industry expertise to continue delivering world-class elastomer technologies and engineered solutions to our customers. As a standalone entity, the Business will be well positioned to accelerate product development, expand its relationships with existing and new customers globally, deliver sustainable solutions, continue to invest in its people, and drive growth and innovation through commercial, technical, and operational excellence.”
Tesham Gor, a Gemspring Executive Advisor who is expected to become Chief Executive Officer of the Business
“With the sale of our chemical business, we continue to demonstrate our commitment to optimizing our portfolio and creating shareholder value. We are grateful to our Goodyear Chemical associates who have driven the success of this business. We will work closely with Gemspring to help ensure a smooth transition for our associates, customers and suppliers.”
Goodyear Chief Executive Officer and President Mark Stewart
