The acquisition broadens Solstice’s materials portfolio for semiconductor production, AI infrastructure and other specialty markets whilst adding electronics production expertise.
Solstice Advanced Materials, primarily based in Morris Plains, New Jersey, has moved into a definitive agreement to acquire Miami-based Element Solutions in a cash-and-stock transaction worth about $14.5 billion.
As per the companies, the acquisition integrates Solstice’s advanced materials portfolio with Element’s specialty chemicals business, growing capabilities for semiconductor production, electronics packaging, thermal management, data center cooling and other specialty applications.
The companies stated the integrated business would have about $6.8 billion in 2025 net sales and will combine Element’s formulation expertise, research and development capabilities, technical service organization and electronics technologies into Solstice’s present advanced materials platform.
“Overall, we consider the integrated company might be very well-positioned to advantage from generational tailwinds in high-growth end markets,” stated David Sewell, president and CEO of Solstice, in a announcement. “Element brings extremely complementary capabilities, deep consumer relationships and a technical services-led model that scales how we guide customers from early-stage development by high-volume production.”
As per the Solstice, the acquisition is anticipated to advance development of electronics materials, consisting of Element’s ActiveCopper technology, at the same time as widening the company’s position in data center cooling and advanced computing applications.
The boards of both companies unanimously approved the transaction, which is anticipated to shut during the first half of 2027, subject to regulatory and shareholder approvals. The integrated company will function as Solstice, with Sewell persisting as president and CEO and Element CEO Ben Gliklich joining the board of directors.
