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

Argus Jan 13 session

+5.77% close to close Open Argus

Details

News Market Reaction – SOLS

On Jan 13, the day this news came out, SOLS closed 5.77% above the previous close.

Data tracked by StockTitan Argus for the Jan 13 session.

Key Figures

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

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

Historical Context

5 past events · Latest: Jan 07

5 events

1. Jan 07

   Earnings date notice

   24h Move

   +4.5%

   Announced timing for Q4 2025 earnings release and conference call.

2. Dec 22

   Segment realignment

   24h Move

   -0.4%

   Honeywell updated guidance to exclude Advanced Materials after Solstice spin.

3. Dec 02

   Capex expansion

   24h Move

   -2.2%

   Announced $200M Spokane expansion to double sputtering-target capacity.

4. Nov 20

   Conference appearance

   24h Move

   +1.2%

   CEO scheduled fireside chat at Goldman Sachs Industrials & Materials Conference.

5. Nov 20

   Correction notice

   24h Move

   +1.2%

   Issued correction related to details of the conference participation release.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

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.

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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 

View original content to download multimedia:https://www.prnewswire.com/news-releases/solstice-advanced-materials-to-invest-over-220-million-to-expand-ballistic-fiber-manufacturing-in-chesterfield-county-virginia-302659174.html

SOURCE Solstice Advanced Materials US, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

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.