ATLANTA (News release) -- As part of Georgia-Pacific's commitment to maximizing long-term value for our customers and the company, GP has agreed to sell its chemicals business to Bakelite Synthetics. Georgia-Pacific's chemicals business is highly complementary to Bakelite's existing platforms in the United States and Europe and a natural fit with Bakelite's world-class formaldehyde-based specialty phenolics resin business.

"As part of our market-based approach, Georgia-Pacific continually transforms its businesses to be better positioned for the future," said Pat Boushka, Executive Vice President, Georgia-Pacific Building Products. "The company remains dedicated to our building products business and continues to invest in new ways to build value for our customers and our company."

Since 2019, GP Building Products has invested over $1 Billion in new assets and technologies that create safer work environments for employees and greater value for our customers. This year, GP Building Products has seen the adoption of new customer relationship programs and platforms, enabling the business to fulfill orders and interact with customers quickly and efficiently.

The Georgia-Pacific chemicals team, totaling approximately 600 people, will be employed by Bakelite after the transaction closes. The proposed transaction includes all 10 chemical manufacturing facilities located in North and South America and the R&D center in Decatur, Georgia. Completion of the acquisition is subject to customary conditions and regulatory approvals for a transaction of this kind and is expected to close in 2022. The sale does not include GP Pine Chemicals which is part of the company's packaging and cellulose businesses.