Olin To Sell Metals Business

Olin has signed a definitive agreement to sell its metals business to a subsidiary of investment firm KPS Capital Partners for $400 million in cash. The unit, based on 2006 figures, is the company's largest sector, with revenues of $2.1 billion or 67% of Olin's total. Operating income from metals was $58.2 million, just 18% of the firm's total. In contrast, Olin's chlor-alkali business had revenues of $666.1 million last year and operating income of $256.3 million, 21% and 78% of the respective totals. Besides chlor-alkalis, the company will retain its Winchester small-caliber ammunition unit. Olin acquired chlor-alkali maker Pioneer for $416 million at the end of August.