PITTSBURGH– PPG Industries has completed the divestiture of its automotive glass and services business to a new company formed by funds managed by Kohlberg & Company, LLC, named Pittsburgh Glass Works LLC. PPG received approximately $270 million in net proceeds from the transaction, which included customary closing adjustments. In addition, PPG will hold a minority ownership interest of approximately 40 percent in Pittsburgh Glass Works LLC.
"Finalizing this transaction is an important milestone in PPG's strategy to focus its efforts on continuing to be a leader in coatings and specialty products and services," said Charles E. Bunch, PPG chairman and chief executive officer.
The automotive glass and services business supplies automotive OEM windshields, rear and side windows, sunroofs, and assemblies for auto and truck manufacturers, and it supplies and distributes replacement automotive glass products for use in the aftermarket. It also provides insurance claim services through its LYNX Services subsidiary, glass management software through its GTS subsidiary, and e-business solutions through its GLAXIS division.
The business manufactures and fabricates automotive glass products in nine North American plants located in Berea, Ky.; Creighton, Meadville, and Tipton, Pa.; Crestline, Ohio; Evansville, Ind.; Evart, Mich.; and Hawkesbury and Oshawa, Ont., Canada. In addition, there are nine satellite parts assembly plants, and LYNX Services claims management centers in Fort Myers, Fla., and Paducah, Ky. The business employs approximately 4,400 people.