Westlake Corporation reports news around its global materials and building-products operations, organized around Performance and Essential Materials and Housing and Infrastructure Products. Updates commonly cover earnings, segment pricing and volume trends, olefins, vinyl chemicals, polyethylene, epoxies, building products, pipe and fittings, facility actions, product certifications, distribution launches, litigation matters and leadership changes.
The company also appears in updates involving Westlake Royal Building Products, Westlake Epoxy and its relationship with Westlake Chemical Partners LP, a limited partnership formed by Westlake to operate, acquire and develop ethylene production facilities and other qualified assets.
Westlake Royal Building Products has officially launched, merging the portfolios of Royal Building Products, Boral North America, and DaVinci Roofscapes. This new brand introduces a diverse range of products including siding, roofing, and windows, marking a significant expansion for the company. The brand will debut at major trade shows in February 2022, showcasing its innovative offerings to architects and builders across North America. The launch represents over two years of strategic acquisition efforts aimed at enhancing growth and market presence.
The Board of Directors of Westlake Chemical Partners LP has declared a quarterly distribution of $0.4714 per unit, marking the 30th such distribution since the Partnership's IPO. This distribution is set to be payable on February 17, 2022, to unit holders of record as of February 3, 2022. Notably, the Partnership is subject to federal income tax withholding for non-U.S. investors at the highest applicable rate. Westlake Chemical Partners operates ethylene production facilities and holds a 22.8% interest in Westlake Chemical OpCo LP.
Hexion Holdings has entered into an agreement to be acquired by American Securities LLC for $30.00 per share in cash. The transaction is set to close in the first half of 2022 pending the completion of Hexion's sale of its epoxy business to Westlake Chemical Corporation (NYSE: WLK). Hexion's net sales for 2020 were $2.5 billion, projected to be $1.4 billion post-epoxy sale. The purchase price offers a 15% premium based on closing prices as of December 17, 2021, and 53% compared to July 30, 2021. A majority of shareholders support the acquisition.
Westlake Chemical Corporation (NYSE: WLK) subsidiary, North American Pipe Corporation (NAPCO), unveils a new product, molecular oriented PVC (PVCO) pipe, boasting a lower carbon footprint than prior offerings. This initiative expands NAPCO’s production capacity at its Woodbridge, Ontario facility. The innovative PVCO pipe promises improved material strength, flow capacity, and impact performance relative to traditional C900 products while adhering to AWWA C909 standards. NAPCO is ramping up inventory in anticipation of the upcoming construction season in Canada.
Hexion Holdings Corporation announced a definitive agreement to sell its epoxy-based Coatings and Composite businesses for approximately $1.2 billion to org value="NYSE:WLK"Westlake Chemical Corporation (NYSE: WLK). The business, generating $1.5 billion in sales over the past year, includes 1,300 employees and 8 manufacturing sites globally. Proceeds from the sale will be utilized to reduce debt and reinvest in operations. The transaction is expected to close in the first half of 2022, pending regulatory approvals.
Westlake Chemical Corporation (NYSE: WLK) has announced a definitive agreement to acquire Hexion Inc.'s global epoxy business for approximately $1.2 billion. This acquisition aims to enhance Westlake's chemicals portfolio by integrating Hexion's specialty resins, coatings, and composites, which generated $1.5 billion in net sales in the last 12 months ending September 30, 2021. The deal is expected to close in the first half of 2022, significantly expanding Westlake's integrated business in sustainable manufacturing for industries like automotive and renewable energy.
Westlake Chemical Corporation (NYSE: WLK) has announced the launch of GreenVin™ Polyvinyl Chloride (PVC) through its Vinnolit subsidiary in Germany. This lower-carbon PVC product aims to meet rising market demand for sustainable materials, saving approximately 25% in carbon dioxide emissions compared to traditional PVC. The initiative follows the earlier introduction of lower carbon caustic soda in February 2021. GreenVin™ supports Westlake's broader commitment to sustainability and environmentally friendly practices in chemical production.
The Board of Directors of Westlake Chemical Corporation (NYSE:WLK) has declared a dividend of $0.2975 per share for Q3 2021. This dividend will be paid on December 8, 2021, to stockholders on record as of November 23, 2021. This marks the 69th consecutive quarterly dividend since the company's IPO in August 2004. Westlake is a major global supplier of materials and products for various industries, enhancing the quality of life.
Westlake Chemical Corporation (NYSE: WLK) announced record quarterly results for Q3 2021, reporting net sales of $3.1 billion and net income of $607 million, marking a significant increase from $57 million in Q3 2020. EBITDA reached a record $1.1 billion, driven by higher sales prices and strong demand in both the Vinyls and Olefins segments. The company completed acquisitions of Boral North America, Dimex LLC, and LASCO Fittings, expanding its footprint in sustainable building products. Cash provided by operations was $755 million, while long-term debt stood at $5.2 billion.
Westlake Chemical Partners LP (NYSE: WLKP) announced a quarterly distribution of $0.4714 per unit, marking the 29th consecutive distribution. In Q3 2021, net income decreased to $12.8 million, down from $18.5 million in Q3 2020, primarily due to reduced sales and planned production outages. Cash flows from operating activities dropped to $99.5 million, down $17.7 million year-over-year. The Partnership reports a trailing twelve-month MLP distributable cash flow coverage of 1.06x. The CEO expressed confidence in future cash flows and market demand for their products.