Albemarle Corporation completed the sale of a controlling stake in Ketjen Corporation’s refining catalyst solutions business to affiliates of KPS Capital Partners, LP. The transaction gives KPS a majority of Ketjen’s board and operational control, while Albemarle retains a minority stake and full ownership of Ketjen’s Performance Catalyst Solutions business.
The combined pre‑tax proceeds from this sale and the earlier sale of Albemarle’s 50% interest in the Eurecat joint venture to Axens SA in January 2026 total $670 million. Albemarle plans to use the proceeds primarily for debt reduction and other general corporate purposes, thereby strengthening its balance‑sheet and financial flexibility.
By divesting the refining catalysts segment, Albemarle is sharpening its focus on its core lithium and specialty chemicals businesses. The divestiture reduces the company’s exposure to the refining catalysts market, which has been a strategic distraction, and allows management to concentrate resources on low‑cost lithium production and integrated conversion capabilities. The transaction also aligns with Albemarle’s broader restructuring and cost‑cutting program, which has already cut capital expenditures by 65% and is targeting a $300‑$400 million free‑cash‑flow range for 2025.
Kent Masters, Chairman and CEO of Albemarle, said, “Our continued investment in Ketjen alongside KPS demonstrates our confidence in the company’s growth and value‑creation potential. We are committed to supporting Ketjen’s next chapter while strengthening Albemarle’s portfolio focus and financial flexibility.” Raquel Vargas Palmer, Managing Partner of KPS, added, “We are thrilled to make a controlling investment in Ketjen and partner with Albemarle in this next phase of growth for Ketjen. We will leverage KPS’ decades of global manufacturing experience to create an entrepreneurial culture centered on innovation and continuous improvement, while providing strategic support and capital to accelerate the Company’s growth opportunities.”
Investors noted the EPS miss in Albemarle’s Q4 2025 earnings, but the sale of the refining catalyst business was viewed as a strategic move to reinforce the company’s focus on its high‑growth lithium and specialty chemicals segments. The transaction signals confidence in the core business and a commitment to improving financial flexibility through debt reduction and disciplined capital allocation.
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