Owens Corning initiates review of glass reinforcements business

US glass producer Owens Corning has decided to review alternatives for its global glass reinforcements (GR) business.

The decision to explore alternatives for the GR business is part of the company’s strategy to focus on building and construction materials.

The GR business generates annual revenues of approximately $1.3 billion and has operations in 11 countries, with 18 manufacturing facilities.

It supplies a variety of glass fibre products for applications in wind energy, infrastructure, industrial, transportation, and consumer markets.

Brian Chambers, Board Chair and CEO of Owens Corning, said: “Our Board and management team regularly review strategic opportunities with a goal to maximise shareholder value.

“Through this disciplined approach to capital allocation, we have taken actions over the past several years to optimise our performance and have concluded it is the right time to explore options for our glass reinforcements business as we continue to focus on strengthening our position in building and construction materials."

The company has retained Morgan Stanley & Co. as financial advisor to assist in the review of strategic alternatives.

A range of options are under consideration, including a potential sale or spinoff; there can be no assurance that the review will result in any transaction or other outcome.

The company has not set a timetable for completion of the review.

Owens Corning’s vertically integrated glass nonwovens business, that supports the Roofing segment and other building products customers, is out of the scope of the evaluation.