PPG Industries has signed an agreement with Platinum Equity of Beverly Hills, CA, under which the company would divest its automotive OEM glass and automotive replacement glass (ARG) and services businesses. The total sales price for the businesses being divested is approximately $500 million.
Under the terms of the agreement, an affiliate of Platinum Equity will acquire the businesses' assets. Completion of the transaction is expected in the fourth quarter.
"This transaction is a significant milestone in PPG's continued transformation to focus on coatings and specialty products, and it will significantly reduce PPG's exposure to the U.S. automotive market," said Charles E. Bunch, PPG chairman and CEO. "This sale will also provide us with more resources to pursue profitable growth in coatings, aerospace, optical products and opportunities in Asia."