Technip Energies has completed its acquisition of Ecovyst’s Advanced Materials & Catalysts (AM&C) business, adding a specialty catalysts and advanced materials platform that the company says will expand its capabilities in advanced catalysts and support growth in sustainable fuels, circular chemistry, and carbon capture.
Following the close, AM&C will continue to operate under its existing leadership team, supported by dedicated R&D, manufacturing, and commercial teams across three facilities in the U.S. and Europe. Technip Energies said 330 employees are joining the company as part of the transaction.
The acquired portfolio includes Advanced Silicas, which supplies specialty silica-based materials and catalysts, and Zeolyst International, a joint venture with Shell Catalysts & Technologies focused on custom zeolite-based materials and catalysts for applications including hydrocracking, sustainable fuels, and advanced recycling.
Technip Energies said AM&C brings more than 40 years of proven expertise and is expected to be immediately accretive to earnings and cash flow. The company framed the acquisition as a way to combine AM&C’s catalysts and materials platform with its own process technologies and engineering expertise, creating a more integrated offering to help customers improve efficiency, reliability, and emissions performance.
For Ecovyst, the sale represents a significant portfolio step. The company previously said it expects net proceeds after taxes and transaction expenses of approximately $530 million and disclosed that it used $465 million of proceeds at closing to pay down its term loan, targeting a net debt leverage ratio below 1.5x.
Support: Evercore served as financial advisor to Technip Energies, with Gibson Dunn as legal counsel and EY-Parthenon as accounting and tax advisor in connection with the transaction. Ecovyst said Lazard Frères & Co. served as its financial advisor.
KEY QUOTES:
“Closing this transaction is an important milestone in the evolution of Technip Energies. With Advanced Materials & Catalysts, we are combining a differentiated catalysts and advanced materials platform with our process technologies and engineering expertise, creating an integrated offering that helps our customers to improve efficiency, reliability and emissions performance across their assets. Advanced Materials & Catalysts’ strong recurring revenue base, attractive margins and long-standing customer relationships are fully aligned with our disciplined capital allocation strategy to drive long-term value creation and to grow the TPS segment. We are very happy to welcome Advanced Materials & Catalysts teams and look forward to working together to deliver the next phase of growth for our customers and stakeholders.”
Arnaud Pieton, CEO of Technip Energies
“As a leading provider of technologies that are highly-valued by the energy industry, we believe Technip Energies provides the scale and technology development expertise that will further enhance product development and market reach for the Advanced Materials & Catalysts business. We want to thank our Advanced Materials & Catalysts colleagues for their dedication and contributions over their tenure with Ecovyst, and we wish them continued success in the future as part of the Technip Energies organization.”
Kurt Bitting, CEO of Ecovyst
“With the completion of this transaction, we reach an important milestone for Advanced Materials & Catalysts. As part of Technip Energies, we can now scale, accelerate innovation and deliver even greater value for our customers, while contributing together to a more sustainable future. We are excited to enter this next phase as part of Technip Energies and to build the next chapter of growth together.”
Paul Whittleston, President of Advanced Materials & Catalysts
