SK Capital Weighs IPO for  Chemical Maker Ascend Performance Materials

(Bloomberg) -- Private equity firm SK Capital Partners is considering an initial public offering of portfolio company Ascend Performance Materials, according to people familiar with the matter.

The New York-based firm is holding talks with advisers about a listing in the first half of 2022 that could value the Houston-based chemical maker at about $5 billion, said the people, who asked not to be identified because they weren’t authorized to speak publicly. A final decision hasn’t been made and SK could elect to keep the business, the people said.

A representative for SK declined to comment. A spokesperson for Ascend didn’t immediately respond to requests seeking comment. 

An Ascend IPO would mark an exit for one of SK’s earliest deals. The team, led by co-founder Barry Siadat, formed the private equity firm after leaving peer Arsenal Capital Partners.

SK bought Ascend from Solutia Inc. in 2009 for about $54 million, according to data compiled by Bloomberg. Using capital from a small pool of investors, the company has grown rapidly, buying facilities in Europe and China. SK explored refinancing Ascend’s debt in 2012 and later did so in 2019 to receive dividends.

Ascend, led by President and Chief Executive Officer Phil McDivitt, makes materials needed to produce nylon, plastics and fibers in products as varied as carpets, tires, animal feed and personal care products, according to its website 

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