WYNYARD, UK, Oct. 10, 2022 — Venator Materials PLC (NYSE: VNTR) (“Venator”) today announced that its U.S. affiliate has closed a sale-leaseback transaction for its Color Pigments manufacturing facility located in Los Angeles, California, with New Mountain Net Lease (“New Mountain”) for $51.3 million. As part of the transaction, Venator entered into an agreement to lease the property from New Mountain for an initial period of 15 years, with an option to extend the lease for two additional terms of approximately 10 years each. The annual lease cost will be $3.4 million in the first year with an initial corresponding capitalization rate of 6.7%.
Simon Turner, President and CEO of Venator, commented, “We are pleased to have successfully completed this transaction. This opportunity to monetize value from a strong real estate market at an attractive cap rate provides optionality for our business and bolsters our liquidity.”
About Venator
Venator is a global manufacturer and marketer of chemical products that comprise a broad range of pigments and additives that bring color and vibrancy to buildings, protect and extend product life, and reduce energy consumption. We market our products globally to a diversified group of industrial customers through two segments: Titanium Dioxide, which consists of our TiO2 business, and Performance Additives, which consists of our functional additives, color pigments and timber treatment businesses. Based in Wynyard, U.K., Venator employs approximately 3,500 associates and sells its products in more than 110 countries.
