Specialty chemicals firm Ashland weighs sale amid activist push, sources say (updated)

Ashland

07/08/2026 22:30

Updates sourcing, adds details in paragraphs 4-8
By Sabrina Valle
Aug 7 (Reuters) - Chemical maker Ashland ASH.N is exploring a sale after coming under pressure from activist investors who argued the company was undervalued, according to a person familiar with the matter, who declined to be named as the information is private.
Ashland is working with Citigroup C.N and Lazard LAZ.N, Bloomberg News reported on Friday, citing people familiar with the matter.
The report said private equity firms including Advent, Apollo Global Management APO.N, Carlyle Group CG.O and Standard Industries STDI.NS have had contact with the chemical maker.
Ashland's decision to explore a sale comes after months of pressure from activist investor Ancora Alternatives, which disclosed a stake in the specialty chemicals company in June.
Ancora argued a transaction could boost Ashland's share price by at least 30% and estimated the stock could be worth at least $76 a share in a takeover.
Ancora's campaign tapped into a broader debate across the chemicals industry, where weak post-pandemic demand and muted growth prospects have weighed on valuations, the person said.
Industry dealmakers say some chemical companies are increasingly considering sales as an alternative to remaining public, arguing that buyers or private-equity owners may place a higher value on specialty assets than public markets do. 
Ashland, whose products are used in pharmaceuticals, personal care and specialty ingredients, fits that profile, as does Element Solutions ESI.N, which agreed to be acquired by Solstice Advanced Materials in a roughly $14.5 billion cash-and-stock deal.
Apollo, Ashland, Citi and Standard Industries did not immediately respond to Reuters' request for comment, while Carlyle, Lazard and Advent declined to comment.

 (Reporting by Sabrina Valle and  Katha Kalia; Additional reporting by Juby Babu in Mexico City; Editing by Shreya Biswas)
 ((Katha.Kalia@thomsonreuters.com;))