Johnson Matthey Announces Div

RNS Number : 1347R

Johnson Matthey PLC

16 August 2010

 



For release at 1.15 pm on Monday 16^th August 2010

Johnson Matthey Announces Divestment of its Vertec Business

Further to Johnson Matthey's announcement on 27^th May 2010 that it was consulting with employees on the future of its Vertec business, the company has today announced that it has agreed to divest the Vertec business.

The Vertec business' order book is to be acquired by Dorf Ketal Chemicals AG, a subsidiary of Dorf Ketal Chemicals (India) Pvt Limited (www.dorfketal.com), for £4.6 million. The transaction is conditional upon regulatory clearance and is expected to be completed by 30^th September 2010.

Johnson Matthey has agreed to enter into a toll manufacturing agreement with Dorf Ketal upon completion of the divestment.  Under this agreement, the company will continue to manufacture and supply products to Dorf Ketal from its Haverton site in Billingham, UK until 31^st March 2011, at which point the Haverton manufacturing site will close.

It is the company's intention to redeploy the vast majority of the 50 affected employees to its other operations in the Teesside area and at other UK sites.

Enquiries: Ian Godwin Director, IR and Corporate Communications 020 7269 8410 Sally Jones Public Relations Manager 020 7269 8407 www.matthey.com

 

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