By Colin Kellaher
Owens Corning has signed a deal to sell its glass reinforcements business to India's Praana Group at an enterprise value of $755 million, including $68 million of net metal lease liabilities.
Owens Corning said Friday the transaction completes its previously announced strategic review of the business, which has about 4,000 employees in 12 countries and generated revenue of roughly $1.1 billion last year.
The Toledo, Ohio, company said it expects after-tax net proceeds of about $360 million, including $225 million of promissory notes, adding that it plans to use the funds for organic investments to drive growth and to return cash to shareholders through share repurchases and cash dividends.
Owens Corning said it expects to recognize an impairment charge from the sale, slated to close this year, but that it isn't yet able to estimate the amount of the charge.
The company said the sale is part of its strategic plan to focus on residential and commercial building products in North America and Europe.
Write to Colin Kellaher at colin.kellaher@wsj.com
(END) Dow Jones Newswires
February 14, 2025 07:50 ET (12:50 GMT)
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