By Liz White, UT editor
Wilton, Connecticut-Momentive Performance Materials Inc. is the name for the company created by the sale of GE's Advanced Materials business to Apollo Management LP.
Momentive will operate as a single global unit following the $3800 million acquisition, which was completed 10 Dec 2006.
The new group said that the former GE Advanced Materials management team, led by president and ceo Wayne Hewett, will continue in their roles in the new business. Also, the former joint ventures GE Bayer Silicones and GE Toshiba Silicones, their employees and their management team are now part of Momentive Performance Materials.
"We see this as a unique opportunity to build a new and exciting organisation created from three global industry leaders," Hewett said, in a company statement. "Our current and future customers will benefit from the best practices that have made GE an admired company, and from the deep industry expertise and financial resources that Apollo has to offer.
As a stand-alone company, "we have the added flexibility and increased focus to operate more nimbly in the marketplace," and help customers achieve their objectives, Hewett added.
The deal includes GE's urethane additives business, made up of silicone surfactants, tertiary amine catalysts and non-silicone process additives. This business is based on the former OSi Specialities unit, which GE bought from Crompton Corp. (now Chemtura) in late 2003.
Prior to the deal, GE Advanced Materials also bought control of two joint ventures-GE Toshiba Silicones (GETOS), and GE Bayer Silicones (GEBS)-from Toshiba and Bayer, and they were included in Apollo's purchase.
GE retains a 10-percent stake in the new company and holds $400 million in notes. "