Solstice Advanced Materials to Acquire Element Solutions for $14.5 Billion

Solstice Advanced Materials entered into a definitive agreement on July 6, 2026, to acquire Element Solutions in a cash-and-stock transaction valued at approximately $14.5 billion, including net debt. Under the terms, Element shareholders will receive $10.00 in cash and 0.500 shares of Solstice common stock per share, reflecting a 15% premium over the July 2 closing price.

The acquisition aims to build an integrated advanced materials platform focusing on semiconductor fabrication, AI infrastructure, and data center cooling. Solstice, which was spun off from Honeywell International Inc. in 2025, will integrate Element's 47 manufacturing sites and eight research centers into its operations. The combined entity is expected to generate 2025 net sales of approximately $6.8 billion.

Solstice will finance the transaction through stock, existing cash, and new debt, supported by an initial $4.7 billion bridge financing commitment from Goldman Sachs. The deal has been approved by both boards of directors and is expected to close in the first half of 2027, pending regulatory and shareholder approval.

Following the close, the company will operate under the Solstice name. David Sewell will remain President and CEO, while Element CEO Ben Gliklich and two other representatives will join the Solstice board of directors.