Solstice Advanced Materials, a global specialty materials company, has entered into a definitive agreement to acquire Element Solutions in a cash-and-stock transaction valued at approximately $14.5 billion, including the assumption of net debt. The proposed combination would create a broader advanced materials platform spanning semiconductor fabrication, advanced packaging and electronics assembly. It would also connect those capabilities with materials and refrigerant application solutions for chip thermal management and data center cooling.
Element Solutions brings electronics formulation, research and development, technical service and customer-process expertise that complement the Solstice capabilities in chemistry, application development and high-performance materials. The companies expect the combined platform to support semiconductor and electronics customers from early-stage development through qualification and high-volume manufacturing.
“Overall, we believe the combined company will be very well-positioned to benefit from generational tailwinds in high-growth end markets,” said David Sewell, President and CEO of Solstice. “Element brings highly complementary capabilities, deep customer relationships and a technical service-led model that expands how we support customers from early-stage development through high-volume manufacturing. This high-performing team brings with it inimitable domain expertise and customer process know-how in addition to a compelling track-record of value creation for shareholders. Together, we expect Element and Solstice to be extremely well positioned to deliver on our customers’ growing requirements for signal integrity, thermal management, reliability and performance.”
Kuprion ActiveCopper™ sintering pastes, adhesives, inks and gaskets are among the advanced electronics materials that would join the Solstice portfolio through its proposed acquisition of Element Solutions.
The acquisition is expected to strengthen the Solstice position across the advanced computing ecosystem. The combined company would offer materials supporting higher-performance semiconductor devices, advanced packaging architectures, electronics assembly and cooling systems designed to improve the efficiency and reliability of data center infrastructure. The greater scale is also expected to accelerate Element Solutions technologies such as Kuprion ActiveCopper. The technology is designed to address thermal-management and adhesion requirements in leading-edge electronics, with applications spanning semiconductor packaging, IC substrate metallization and electronics assembly.
On a pro forma basis, the two companies would have had combined full-year 2025 net sales of approximately $6.8 billion and an adjusted EBITDA margin of approximately 26%, including anticipated run-rate synergies.
“Since Element’s founding in 2019, we have delivered a strategy balancing operational excellence and prudent capital allocation to cement our position in the fastest growing, highest value niches of our markets,” said Ben Gliklich, Chief Executive Officer of Element Solutions. “This transaction recognizes that achievement and brings together two great companies with shared attributes – strong market positions, attractive margins, deep technical know-how and excellent people – to accelerate their combined growth. We are creating a scaled advanced materials platform with complementary capabilities to broaden our offerings in our core electronics markets and deliver differentiated solutions to customers. We believe that the breadth of the combined portfolio along with enhanced innovation and manufacturing capabilities will allow us to better solve the pain points emerging in the leading edge of the electronics industry. This is an exciting opportunity for our people and shareholders, both of whom are expected to participate in the anticipated long-term upside of the combined company.”
Solstice expects to realize more than $180 million in net synergies by the third year following completion. These anticipated savings would come from procurement, manufacturing and supply-chain optimization, operational efficiencies and reduced selling, general and administrative expenses. The transaction is also expected to be accretive to adjusted earnings per share during the first year after closing. Under the terms of the agreement, Element Solutions shareholders would receive $10 in cash and 0.500 shares of Solstice common stock for each Element Solutions share. The consideration represented an implied value of approximately $50.10 per share and a premium of approximately 15% over the Element Solutions closing share price on July 2, 2026.
Element Solutions shareholders are expected to own approximately 44% of the combined company following completion. The combined business will operate as Solstice, with Sewell serving as President and CEO. The Solstice board will include 11 directors, including Gliklich and two additional directors designated by the Element Solutions board. The boards of both companies have unanimously approved the transaction. Completion is expected during the first half of 2027, subject to shareholder and regulatory approvals and other customary closing conditions.
About Solstice Advanced Materials
Solstice Advanced Materials is a global specialty materials company developing high-performance solutions for semiconductor manufacturing, data center cooling, refrigerants, nuclear power, protective fibers, healthcare packaging and other critical applications. The company works with more than 3,000 customers across over 120 countries and territories and holds a portfolio of more than 5,700 patents and pending applications. Solstice employs approximately 4,000 people worldwide. For more information, please click here.
About Element Solutions
Element Solutions is a global specialty chemicals technology company whose products support manufacturing processes across semiconductor fabrication, high-performance computing, automotive systems, consumer electronics, power electronics, communications and data storage infrastructure, aerospace and defense, industrial surface finishing and offshore energy. Its businesses develop materials and process technologies designed to improve the performance, reliability and manufacturability of customers’ products. To learn more, please click here.
Source/Photo Credit: Solstice Advanced Materials
(Editor’s Note: All trademarks mentioned in this article, including company names, product names, and logos, are the property of their respective owners. Use of these trademarks is for informational purposes only and does not imply any endorsement.)
Molly Bakewell Chamberlin is the Founder, Publisher and Editor-in-Chief of Components Source Network, a 100% woman- and disability-owned B2B publishing and expert marketplace platform serving the global high-tech manufacturing and engineering community. She is the architect, author and developer of the Network’s 11 specialized e-news sites and 11 peer-vetted expert e-marketplaces, including Semiconductor Industry Monthly. With more than 25 years of experience in strategic technical marketing, public relations and business development, she is also the Founder and President of Embassy Global, LLC, which has supported more than 200 high-tech industry brands worldwide since 2008. Molly also serves pro bono as Second Vice Chair of the Government Team for the WBENC Forum and is a long-standing advocate for small business, supplier diversity, sustainability and women in STEM. Connect with Molly on LinkedIn.
- Agentrys Raises $24.5M for AI Chip Design Automation - August 28, 2026
- ACM Research Expands Wet Processing Platform - August 26, 2026
- Lam Research Plans $3B Global R&D Lab Expansion - August 26, 2026