Elkem enters exclusive talks to sell silicones division

Oslo, Norway – It’s been reported that Elkem ASA has entered an exclusive sales process to divest its silicones division, marking a pivotal moment in the Norwegian company’s strategic transformation. The move follows a comprehensive review launched in January 2025 aimed at streamlining operations and reallocating capital toward its core growth areas—Silicon Products and Carbon Solutions.

The company is now in negotiations with a major industrial player that holds a significant presence in the global chemicals industry. While the identity of the counterparty remains undisclosed, Elkem expressed confidence that the potential transaction would deliver the best outcome for both the silicones division and its broader business.

The silicones unit has shown signs of recovery, with improved financial performance in 2024 after a challenging 2023. However, Elkem’s leadership believes that divesting the division will allow for greater investment in areas with stronger long-term growth prospects. ABG Sundal Collier ASA is advising Elkem throughout the process. The transaction is expected to close in the first half of 2026, pending successful negotiations and regulatory approvals.

Founded in 1904, Elkem is a global leader in silicon-based materials, with a workforce of over 7,200 employees and operations spanning electric mobility, digital communications, personal care, and sustainable urban development. The company is listed on the Oslo Stock Exchange and reported an operating income of NOK 33 billion in 2024.