SOLSTICE ADVANCED MATERIALS TO INVEST OVER $220 MILLION TO EXPAND BALLISTIC FIBER MANUFACTURING IN CHESTERFIELD COUNTY, VIRGINIA

Rhea-AI Summary

Solstice Advanced Materials (NASDAQ: SOLS) will invest more than $220 million to expand ballistic fiber manufacturing at its Colonial Heights, Chesterfield County, Virginia facility, adding advanced fiber spinning, composite coating and analytical capabilities.

The project is expected to create 100 full-time high-tech jobs by 2029, proceed with construction and equipment installation between 2025 and 2029, and ramp operational benefits through a projected completion date of Sept. 30, 2030. State support includes a $1.5 million Opportunity Fund grant and a $2 million performance-based VIP grant.

The expansion increases capacity for Spectra and Spectra Shield (UHMWPE) technologies, described as up to 15× stronger than steel and 65% lighter than aramid fabrics, and is positioned to strengthen U.S. defense supply chains.

Positive

• Planned capital investment of $220+ million
• Creation of 100 full-time high-tech jobs by 2029
• Capacity increase for Spectra and Spectra Shield UHMWPE technologies
• State support totaling $3.5 million in grants

Negative

• Construction and equipment installation span 2025–2029, delaying full benefits
• Operational benefits expected to ramp only through Sept. 30, 2030
• State grants include $2 million performance-based funding with conditions

News Market Reaction

+5.77%

12 alerts

+5.77% News Effect

+$481M Valuation Impact

$8.82B Market Cap

0.5x Rel. Volume

On the day this news was published, SOLS gained 5.77%, reflecting a notable positive market reaction. Our momentum scanner triggered 12 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $481M to the company's valuation, bringing the market cap to $8.82B at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Virginia capex plan: >$220 million New jobs: 100 full-time jobs Construction window: 2025–2029 +5 more

8 metrics

Virginia capex plan >$220 million Investment to expand ballistic fiber manufacturing in Chesterfield County

New jobs 100 full-time jobs Expected by 2029 at Colonial Heights facility

Construction window 2025–2029 Construction and equipment installation period

Completion date Sept. 30, 2030 Projected completion for operational ramp benefits

Fiber strength 15 times stronger UHMWPE fibers vs. steel strength comparison

Weight reduction 65% lighter UHMWPE fibers vs. aramid fabrics

Opportunity Fund grant $1.5 million Commonwealth grant approved to assist project

VIP Grant $2 million Performance-based Virginia Investment Performance Grant

Market Reality Check

Price: $61.77 Vol: Volume 2,012,474 is below...

low vol

$61.77 Last Close

Volume Volume 2,012,474 is below the 20-day average of 3,865,510, suggesting muted pre-news positioning. low

Technical Shares at $52.01 are above the 200-day MA of $11.89, near the 52-week low of $52.01 and 4.13% below the 52-week high of $54.2499.

Peers on Argus

No peers in the provided sector list showed qualifying momentum moves, indicatin...

No peers in the provided sector list showed qualifying momentum moves, indicating the -1.92% move in SOLS ahead of this capex announcement looked stock-specific rather than part of a broader sector rotation.

Historical Context

5 past events · Latest: Jan 07 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 07	Earnings date notice	Neutral	+4.5%	Announced timing for Q4 2025 earnings release and conference call.
Dec 22	Segment realignment	Neutral	-0.4%	Honeywell updated guidance to exclude Advanced Materials after Solstice spin.
Dec 02	Capex expansion	Positive	-2.2%	Announced <b>$200M</b> Spokane expansion to double sputtering-target capacity.
Nov 20	Conference appearance	Neutral	+1.2%	CEO scheduled fireside chat at Goldman Sachs Industrials & Materials Conference.
Nov 20	Correction notice	Neutral	+1.2%	Issued correction related to details of the conference participation release.

Pattern Detected

Recent large expansion news (e.g., Spokane capex) coincided with a negative next-day move, suggesting the stock has not consistently rewarded growth investments in the short term.

Recent Company History

Over the past few months, Solstice Advanced Materials has focused on corporate separation, capacity expansion, and investor outreach. Honeywell’s December realignment filing reflected Solstice’s spin completion and removed Advanced Materials from its guidance. On Dec 2, 2025, Solstice announced a $200 million Spokane expansion that saw a -2.24% reaction. Management also highlighted conference participation and scheduled its Q4 2025 earnings release for Feb 11, 2026. Today’s Virginia ballistic fiber investment continues this capex-driven growth narrative.

Market Pulse Summary

The stock moved +5.8% in the session following this news. A strong positive reaction aligns with Sol...

Analysis

The stock moved +5.8% in the session following this news. A strong positive reaction aligns with Solstice’s strategy of large-scale capacity investments. The Spokane expansion on Dec 2, 2025 drew a -2.24% move despite a $200M commitment, so a sizable gain on this Virginia project would mark a shift toward rewarding growth capex. Investors would still need to weigh execution risk on multi-year projects through 2030 and the potential for sentiment to normalize after initial enthusiasm.

Key Terms

ultra-high molecular weight polyethylene, uhmwpe, composite materials, ballistic testing, +2 more

6 terms

ultra-high molecular weight polyethylene medical

"featuring ultra-high molecular weight polyethylene (UHMWPE) fibers that are up to 15 times"

Ultra-high molecular weight polyethylene is an extremely tough, lightweight plastic made of very long chains of the same building block, giving it exceptional wear resistance and low friction. Think of it as a dense, slippery fabric or solid rope that resists abrasion and lasts a long time; that matters to investors because it is widely used in medical implants, industrial parts and consumer goods, where durability, regulatory approvals and manufacturing scale can drive sales, margins and product lifecycles.

uhmwpe medical

"featuring ultra-high molecular weight polyethylene (UHMWPE) fibers that are up to 15 times"

Ultra-high-molecular-weight polyethylene (UHMWPE) is a very tough, low-friction plastic used in medical implants, joint replacements and wear-resistant parts; think of it as an exceptionally durable plastic that withstands repeated rubbing like a non-stick, long-lasting bearing surface. Investors watch UHMWPE because its performance, manufacturing advances and regulatory approvals can drive demand, product lifecycles and warranty costs for companies that make medical devices, industrial equipment or consumer goods incorporating the material.

composite materials technical

"producing Spectra® fiber and composite materials used in helmets, vests, vehicle armor"

Composite materials are engineered solids made by combining two or more different substances so the result is stronger, lighter, or more durable than the parts alone—think of fiber woven into resin like a fabric set in glue or concrete reinforced with steel. Investors care because composites can lower weight, extend product life, cut fuel or material costs, and open new markets; changes in demand, production capacity, or raw‑material prices can directly affect companies’ costs and growth prospects.

ballistic testing technical

"capabilities – spanning fiber spinning, ballistic testing and composite fabrication – enable"

Ballistic testing measures how projectiles, such as bullets or fragments, behave when fired and how they affect the materials or targets they hit; it checks speed, accuracy, penetration, and the protective performance of barriers. Investors care because these tests prove whether products meet safety and regulatory standards, influence liability and insurance risk, determine suitability for contracts or sales, and act like crash tests for weapons or armor that shape market acceptance and future revenue.

virginia investment performance (vip) grant regulatory

"through the Virginia Investment Performance (VIP) Grant, which provides consultative services"

A Virginia Investment Performance (VIP) grant is a state-awarded, performance-based cash incentive that reimburses or offsets a portion of a company’s eligible investment or operating costs when it meets agreed milestones such as job creation or capital spending. For investors, it matters because the grant lowers a firm’s effective cost of expansion and reduces project risk—similar to receiving a conditional rebate from the government that improves a company’s cash flow and return on investment.

commonwealth's opportunity fund regulatory

"approved a $1.5 million grant from the Commonwealth's Opportunity Fund and a $2 million"

A commonwealth's opportunity fund is a government-run pool of money used by a state or territory to offer grants, low-interest loans or tax breaks to attract or expand businesses and create jobs. For investors it matters because such incentives can lower a company’s costs or speed up a project—like a temporary financial boost that can improve near-term profits and cash flow—but they can also change competitive dynamics and carry political or renewal risk.

AI-generated analysis. Not financial advice.

Expansion to strengthen U.S. manufacturing of defense-critical materials, enhance innovation and create 100 full-time high-tech jobs

MORRIS PLAINS, N.J., Jan. 13, 2026 /PRNewswire/ -- Solstice Advanced Materials (NASDAQ: SOLS), a global leader in high-performance specialty materials, today announced plans to invest more than $220 million in multiple projects to expand production at its existing ballistic fiber manufacturing facility in Colonial Heights, Chesterfield County, Virginia, which is also expected to create 100 new full-time jobs in the region by 2029.

The Colonial Heights facility has been a cornerstone of U.S. defense supply chains for over two decades, producing Spectra^® fiber and composite materials used in helmets, vests, vehicle armor and naval applications, along with an array of industrial applications. Through its investment, Solstice will enhance its facility with new fiber spinning, composite coating and analytical capabilities, creating one of the most sophisticated ballistic materials production hubs in North America. Construction and equipment installation are expected to occur between 2025 and 2029, with operational benefits expected to ramp through the projected completion date of Sept. 30, 2030.

"This investment underscores Solstice's commitment to maintaining technology leadership in high-performance protective materials, strengthening U.S.-based manufacturing and enhancing supply chain resiliency for defense-critical materials," said David Sewell, President and CEO of Solstice Advanced Materials. "Our advanced fibers and composites deliver critical protection across defense, law enforcement and industrial applications – all of which represent significant growth markets for Solstice."

"Solstice Advanced Materials' expansion in Chesterfield underscores Virginia's leadership in the advanced manufacturing and materials industry," said Governor Glenn Youngkin. "Their ballistic fibers help protect those who protect us, and this growth reflects the strength of the Commonwealth's talent. Partnerships like this will ensure Virginia remains the best place to build and innovate." 

"Solstice's commitment to Chesterfield is a win for the Commonwealth and for our advanced manufacturing ecosystem," said Secretary of Commerce and Trade Juan Pablo Segura. "Virginia's reliable infrastructure, pro-business climate, and world‑class workforce give innovators the confidence to scale critical technologies right here at home." 

The expansion will increase capacity for Spectra^® and Spectra Shield^® technologies, featuring ultra-high molecular weight polyethylene (UHMWPE) fibers that are up to 15 times stronger than steel and 65% lighter than aramid fabrics. The Colonial Heights facility's state-of-the-art R&D and prototyping capabilities – spanning fiber spinning, ballistic testing and composite fabrication – enable Solstice to accelerate innovation cycles and deliver mission-critical advancements such as next-generation lightweight armor systems and advanced soldier protection solutions.

The project also supports the U.S. military's strategic objective to maintain and expand domestic production of advanced ballistic materials amid rising global competition.

The Virginia Economic Development Partnership (VEDP), in coordination with Chesterfield County, supported the project through the Virginia Investment Performance (VIP) Grant, which provides consultative services and funding to companies creating new jobs in order to support employee recruitment and training activities.

Additionally, Governor Glenn Youngkin approved a $1.5 million grant from the Commonwealth's Opportunity Fund and a $2 million performance-based Virginia Investment Performance (VIP) Grant to assist Chesterfield County with the project and encourage continued capital investment by existing Virginia companies.

"This expansion reflects our long-term confidence in the Commonwealth of Virginia and our commitment to advancing America's defense industrial base," said Lawrence Kast, Senior Vice President, Global Government Relations, Solstice Advanced Materials. "We're grateful for the collaborative support from state and local leaders, whose partnership ensures that the critical materials needed for national defense continue to be produced here in the United States."

About Solstice Advanced Materials
Solstice Advanced Materials is a leading global specialty materials company that advances science for smarter outcomes. Solstice offers high-performance solutions that enable critical industries and applications, including refrigerants, semiconductor manufacturing, data center, cooling, nuclear power, protective fibers, healthcare packaging and more. Solstice is recognized for developing next-generation materials through some of the industry's most renowned brands such as Solstice^®, Genetron^®, Aclar^®, Spectra^®, Fluka™ and Hydranal™. Partnering with over 3,000 customers across more than 120 countries and territories and supported by a robust portfolio of over 5,700 patents, Solstice's approximately 4,000 employees worldwide drive innovation in materials science.

For more information, visit www.Solstice.com. 

Forward-Looking Statements
This news release contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the fact that they do not relate strictly to historical or current facts, but rather are based on current expectations, estimates, assumptions and projections. These statements involve risks and uncertainties, and actual results may differ materially from any future results expressed or implied by the forward-looking statements. Risks and uncertainties include, without limitation, ongoing macroeconomic and geopolitical risks, such as changes in or application of trade and tax laws and policies, including the impacts of tariffs and other trade barriers and restrictions, lower GDP growth or recession in the U.S. or globally, supply chain disruptions, capital markets volatility, and inflation, that can affect Solstice's performance in both the near- and long-term. In addition, no assurance can be given that any plan, initiative, projection, goal, commitment, expectation, or prospect set forth in this release can or will be achieved. These forward-looking statements should be considered in light of the information included in this release, Solstice's final information statement, dated October 17, 2025, and other filings with the Securities and Exchange Commission. Any forward-looking plans described herein are not final and may be modified or abandoned at any time. Solstice does not undertake to update or revise any of its forward-looking statements, which speak only as of the date they are made.

Media
Amy Schneiderman   
(201) 218-2302               
Amy.Schneiderman@teneo.com 

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SOURCE Solstice Advanced Materials US, Inc.

FAQ

How much is Solstice (SOLS) investing in the Colonial Heights expansion?

Solstice is investing more than $220 million to expand ballistic fiber manufacturing in Colonial Heights, Virginia.

How many jobs will Solstice (SOLS) create from the Virginia expansion and by when?

The project is expected to create 100 full-time high-tech jobs by 2029.

What is the timeline for Solstice (SOLS) construction and when will operations ramp?

Construction and equipment installation are planned between 2025 and 2029, with operational benefits ramping through Sept. 30, 2030.

What state incentives support Solstice's (SOLS) Virginia project?

Virginia approved a $1.5 million Opportunity Fund grant and a $2 million performance-based VIP grant to support the project.

Which technologies and products will the Solstice (SOLS) expansion increase capacity for?

The expansion increases capacity for Spectra and Spectra Shield ultra-high molecular weight polyethylene (UHMWPE) fiber technologies used in helmets, vests and vehicle armor.

How does the Solstice (SOLS) expansion affect U.S. defense supply chains?

The company says the expansion strengthens domestic production of defense-critical ballistic materials and enhances supply chain resiliency.