Investindustrial has acquired the composites and coatings business of Momentive Specialty Chemicals, Inc.

Momentive Specialty Chemicals Inc. (“Momentive”) and PCCR USA, Inc. (“PCCR”) have announced that the companies have signed a definitive agreement for Momentive to sell its North American composites and coating resins business to PCCR, a subsidiary of Investindustrial, a European investment group with operations in specialty chemicals, resins and intermediates. Terms of the agreement have not been disclosed. The transaction is subject to customary conditions including government reviews.

The Momentive business to be purchased by PCCR includes manufacturing locations in Carpentersville, Illinois; Ennis, Texas; Forest Park, Georgia; and Lynwood, California. The business had 2010 sales of approximately $230 million and employs 225 people, whom are anticipated to join PCCR at closing.

“This business is an excellent fit with our existing operations in specialty chemicals and will provide us with a significant new presence in the North American marketplace in this industry,” says Andrea C. Bonomi, Chairman of Investindustrial.

Advisors to Momentive on the transactions are The PrinceRidge Group LLC as transaction advisor and O’Melveny & Myers LLP as legal advisor. Advisors to Investindustrial on the transaction are Lincoln International LLC for M&A, Duff & Phelps Securities LLC for financing and DLA Piper LLP for legal.

About Investindustrial

Investindustrial is an independent investment group with €2.1 billion (USD 3 billion) in assets under management with offices in Europe, the U.S. and Asia. Since its inception in 1990, it has successfully owned and developed several chemicals companies. It currently owns Polynt, a leader in intermediate polymers and resins with more than €600 million (USD 850 million) of revenues in 2010 and manufacturing presence in Europe and China. Additional information is available at www.investindustrial.com .

About Momentive Specialty Chemicals Inc.

Based in Columbus, Ohio, Momentive Specialty Chemicals is the global leader in thermoset resins. Momentive serves the global wood and industrial markets through a broad range of thermoset technologies, specialty products and technical support for customers in a diverse range of applications and industries. Additional information is available at www.momentive.com.

About the new Momentive

Momentive Performance Materials Holdings LLC is the ultimate parent company of Momentive Specialty Chemicals Inc. and Momentive Performance Materials Inc. (collectively, the “new Momentive”). The new Momentive is a global leader in specialty chemicals and materials, with a broad range of advanced specialty products that help industrial and consumer companies support and improve everyday life. The company uses its technology portfolio to deliver tailored solutions to meet the diverse needs of its customers around the world. The new Momentive was formed in 2010 through the combination of entities that own Momentive Performance Materials and Hexion Specialty Chemicals. The company is controlled by investment funds affiliated with Apollo Global Management, LLC.

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