COLUMBUS, OHIO – 04/01/2026 – () – Hexion has made another move in reshaping its global manufacturing presence by finalizing the sale of its La Grande, Oregon production facility to Kronospan, a long-term customer and strategic partner. The deal aligns with the operational priorities of both companies, empowering Kronospan to boost manufacturing efficiency while enabling Hexion to further streamline its portfolio and zero in on higher-value growth sectors.
Under the terms of the agreement, the La Grande site will keep operating without interruption, supported by its existing workforce. Both companies highlighted their commitment to ensuring continuity for employees and customers during the transition, while guaranteeing the facility continues to meet Kronospan’s production needs.
This divestment reflects Hexion’s broader transformation strategy, which revolves around channeling resources into distinct, high-performance markets. By refining its plant network, the company is creating additional capacity to invest in innovation, digitalization, and advanced manufacturing capabilities—including solutions powered by artificial intelligence.
Hexion President and CEO Michael Lefenfeld stated that the transaction advances the company’s long-term vision of leading in cellulose-based performance materials and next-generation manufacturing technologies. He noted the sale allows Hexion to reallocate capital and expertise toward developing new customer solutions while sustaining its collaborative relationship with Kronospan across multiple business areas.
The La Grande transaction follows a series of strategic actions by Hexion aimed at optimizing its asset base and accelerating its shift toward sustainable, high-performance materials. These steps include the acquisition of Smartech, whose AI-driven manufacturing solutions are designed to help customers enhance efficiency, reduce waste, and improve operational performance. More recently, Hexion announced the divestiture of its U.S. Gulf Coast formalin business to Ancala, an infrastructure investment firm.
Looking forward, Hexion plans to continue driving innovation through chemistry, precision manufacturing, and AI-enabled technologies that support better performance and sustainability outcomes for customers across various industrial markets.