Divestiture |
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| Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Divestiture |
3. Divestiture:
Advanced Materials & Catalysts Divestiture
On September 10, 2025, the Company entered into a definitive agreement to sell its Advanced Materials & Catalysts business, which includes the Zeolyst Joint Venture, to Technip Energies N.V. (the “Buyer”) for a purchase price of $556,000 subject to certain adjustments including indebtedness, cash, working capital and transaction expenses, as set forth in the definitive agreement (the “Advanced Materials & Catalysts Sale”). The Company completed the Advanced Materials & Catalysts Sale effective on December 31, 2025. During the year ended December 31, 2025, the net cash proceeds to the Company from the sale were $568,427 after certain customary adjustments for indebtedness, working capital and cash at the closing of the transaction, which remains subject to customary post-closing adjustments. During the three months ended March 31, 2026, the Buyer provided a proposed closing statement, which the Company is currently reviewing in accordance with the terms of the definitive agreement. The calculation of the loss on sale in the Company’s 2025 annual consolidated financial statements included an estimate of the potential adjustment to the closing purchase price. The Buyer’s proposed closing statement indicates an estimated adjustment of up to $11,000 more than our estimate, which, if final, would affect the net loss on sale presented in discontinued operations and the final cash settlement. The Company intends to dispute any unsubstantiated adjustments accordingly.
The following table summarizes the results of discontinued operations related to the Advanced Materials & Catalysts business for the three months ended March 31, 2025:
(1)Upon the close of the Advanced Materials & Catalysts Sale and finalization of net cash proceeds, the Company was required to provide partial repayment under its Term Loan Credit Agreement dated as of January 30, 2025 (the “2025 Term Loan Facility”). As such, interest expense has been allocated to discontinued operations on the basis of the Company’s partial repayment of $161,500 of the 2025 Term Loan Facility due June 12, 2031.
During the three months ended March 31, 2026, the Company incurred net loss from discontinued operations, net of tax of $1,432, primarily driven by transaction costs of $1,132.
Upon the close of the transaction, the Company entered into a Transition Services Agreement with the buyer pursuant to which the buyer is receiving certain services to provide for the orderly transition of various functions and processes after the closing of the transaction. The services under the Transition Services Agreement include information technology, accounting, tax, financial services, human resources and other administrative support services. These services are being provided at cost for a period of 10 months, with the ability to extend the initial term up to two extensions, the first of which shall not exceed two months and the second shall not exceed one month. The Company invoiced $767 pursuant to the Transition Services Agreement to the Buyer during the three months ended March 31, 2026.
The disposal group included the Company’s investment in an affiliated company, which was historically accounted for under the equity method. The following table provides summarized financial information of the combined investments in affiliated companies that were included within the divested business unit:
Certain administrative services were provided to the affiliated company by the Company. The Company charged $576 for the three months ended March 31, 2025, which were included in selling, general and administrative expenses in the condensed consolidated statements of income (loss).
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