TORONTO, Sept. 16, 2024 (GLOBE NEWSWIRE) -- Mattr Corp. (“Mattr” or the “Company”) (TSX: MATR) announced today that it has entered into a definitive agreement to sell its subsidiary, Thermotite do Brazil (“Thermotite”), to Vallourec Tubular Solutions, a subsidiary of Vallourec S.A. (“Vallourec”) (EPA:VK). Thermotite provides thermal insulation pipe coating services to the offshore oil and gas industry from its plant in Serra, Brazil and is the Company’s final remaining pipe coating business.
The transaction, under which Vallourec will acquire 100% of the shares of the Thermotite legal entity, is subject to customary closing conditions, including regulatory approvals, which the Company currently anticipates will be completed within the standard review time. The Company will control and retain all earnings from Thermotite until the transaction closes, and upon closing the Company expects to receive gross sale proceeds of at least $17.5 million USD or approximately $24 million CAD at current exchange rates, on a cash-free, debt-free basis, subject to normal working capital adjustments.
“Once complete, the transaction announced today concludes our strategic review process,” said Mike Reeves, Mattr’s President and CEO. “Aligned with the Company’s actions over the last three years to simplify our portfolio, lower volatility and increase full-cycle margins, this announcement - and the proceeds ultimately expected from this transaction - further enhances Mattr’s ability to deliver focused, high-return growth in our remaining core businesses. While it will take several months to complete the pending transaction, I would like to take this opportunity to thank every member of the Thermotite team for their many contributions to the history and success of our organization.”
Thermotite’s financial performance is currently reported under the Company’s Financial, Corporate & Other segment. Effective September 2024, the Thermotite business will be reported as an asset held for sale.
About Mattr
Mattr is a growth-oriented, global materials technology company broadly serving critical infrastructure markets, including transportation, communication, water management, energy and electrification. The Company operates through a network of fixed manufacturing facilities. Its two business segments, Composite Technologies and Connection Technologies, enable responsible renewal and enhancement of critical infrastructure while lowering risk.
For further information, please contact
Meghan MacEachern
VP, External Communications & ESG
Telephone: 437.341.1848
Email: meghan.maceachern@mattr.com
Website: www.mattr.com
Source: Mattr Corp.
