High value, differentiated portfolio of rare and specialty gases alongside advanced materials supporting fast-growing end markets, such as semiconductor manufacturing, satellite systems and electrical infrastructure

ESI expects EFC to contribute approximately $30 million of adjusted EBITDA in 2026 at greater than 30% margins

Together, EFC and the previously announced acquisition of Micromax are expected to be over 7% accretive to ESI’s adjusted earnings per share in 2026

MIAMI--(BUSINESS WIRE)--

Element Solutions Inc ( ESI ) , a global and diversified specialty chemical technology company, announced today that it has signed a definitive agreement to acquire EFC Gases & Advanced Materials (“EFC”) for approximately 12x forecasted 2026 adj. EBITDA in cash, subject to adjustments. The transaction is expected to be completed by the end of 2025, subject to certain regulatory approvals and customary closing conditions.

EFC provides high-purity specialty gases and other advanced materials to a range of fast-growing and highly complex industries, including semiconductor manufacturing, aerospace, and electrical infrastructure. EFC’s commitment to excellence is underscored by rigorous global sourcing standards and state-of-the-art metrology processes, ensuring unparalleled product purity and integrity. Additionally, EFC offers tailored gas recovery and recycling systems, helping clients achieve new levels of operational efficiency and sustainability. The business has grown at a revenue CAGR in excess of 15% since 2009 with growth accelerating this year primarily in semiconductor applications. EFC has grown the number of semiconductor product qualifications in its portfolio by more than 40% since 2023.

Chief Executive Officer Benjamin Gliklich said, “EFC is an outstanding business. It offers a highly specialized portfolio of products and solutions that support the fastest growing end-markets in the physical economy. Their focus on niche, high value products and people-centricity have yielded remarkable momentum and a pipeline of customer qualifications that we anticipate will translate into substantial earnings growth. With roughly 40% of sales generated from semiconductor markets and 30% from satellite and space applications, EFC will bring valuable new growth vectors for our company while also fitting nicely with our customer footprint and culture. We are excited to welcome Pavel Perlov and the outstanding EFC team into the Element Solutions ( ESI ) family and looking forward to capitalizing on our combined capabilities.”

Pavel Perlov, President and Chief Executive Officer of EFC added, “We are honored to join Element Solutions ( ESI ), representing a major milestone in EFC’s continued growth and commitment to excellence. This partnership marks a significant step forward for our team and valued customers. With our shared vision for successful growth and our combined strengths, we will accelerate innovation and deliver even greater value to our customers as well as the markets we serve. I am incredibly proud of what we have built and energized about the opportunities ahead as part of this new chapter in our growth.”

Financial Details

ESI expects EFC to contribute approximately $30 million to its adjusted EBITDA in 2026. The transaction is expected to be funded using a combination of cash on hand and incremental debt.

As previously announced, on October 28, 2025, the Company also signed a definitive agreement to acquire Micromax from Celanese Corporation which is expected to contribute approximately $40 million to ESI’s adjusted EBITDA on a full-year basis at accretive metals-adjusted margins.

Together, the EFC and Micromax transactions are expected to be over 7% accretive to ESI’s adjusted earnings per share in 2026. On a pro forma basis reflecting both transactions, the Company’s net debt to adjusted EBITDA ratio at year end 2025 would be under 3.0x.

About Element Solutions Inc ( ESI )

Element Solutions Inc ( ESI ) is a leading global specialty chemical technology company whose businesses supply a broad range of solutions that enhance the performance of products people use every day. Developed in multi-step technological processes, these innovative solutions enable customers' manufacturing processes in several key industries, including consumer electronics, power electronics, semiconductor fabrication, communications and data storage infrastructure, automotive systems, industrial surface finishing, and offshore energy.

More information about the Company is available at www.elementsolutionsinc.com.

Forward-looking Statements

This press release contains forward-looking statements, including, but not limited to, statements relating to the parties’ ability to receive the required regulatory approvals and satisfy other customary closing conditions in order to close the acquisition; Element Solutions’ ability to successfully integrate and obtain the anticipated benefits from this acquisition and the Micromax acquisition, including, but not limited to their accretion to ESI’s adjusted earnings per share and contribution to ESI’s adjusted EBITDA, individually or in aggregate; customer qualifications; earnings growth and new growth vectors; capitalizing on combined capabilities; accelerating innovation; and greater value to customers and end-markets. These statements are based on management's estimates and assumptions with respect to financial performance and future events, and are believed to be reasonable, though are inherently difficult to predict. Actual results could differ materially from those projected as a result of certain factors including, without limitation, market and other general economic conditions, Element Solutions’ perception of future availability of financing as well as factors included in its periodic and other reports filed with the Securities and Exchange Commission. Element Solutions ( ESI ) undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

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Source: Element Solutions Inc ( ESI )