Sun withdraws from KPG joint venture
Ink manufacturer Sun Chemical Corporation, of Fort Lee, NJ, USA, announced recently that Eastman Kodak Company will become the sole owner of graphic arts supplier Kodak Polychrome Graphics (KPG) through redemption of Sun Chemical’s 50 percent interest in the joint venture. Completion of the deal, which will exceed $800 million in cash, is expected in April. Currently, Kodak and Sun Chemical each own half of KPG, a venture established in 1998.
“Since its inception, KPG has grown into a highly successful leader in the graphic arts market based on a sound strategy and a world-class team, and is highly valued by both partners,” said Wes Lucas, chairman, president and CEO of Sun Chemical.“However, with the end of the joint venture agreement coming in the near future, both Sun Chemical and Kodak agreed that now is an excellent time to stake out a clear future for KPG. The redemption of these shares creates the opportunity for Sun Chemical to aggressively pursue its growth strategies.”