#USA #The Woodlands #recapitalization #SI Group #financial flexibility

SI Group Finalizes Major Recapitalization

In a significant move, SI Group, a worldwide leader in high-performance additives and chemical intermediates, announced the successful completion of a comprehensive recapitalization. This strategic action is designed to bolster the company’s growth trajectory and enhance its operational resilience in the dynamic chemical industry.

On December 24, 2025, SI Group disclosed that this recapitalization has led to a substantial reduction in its net debt, amounting to approximately $1.7 billion, which represents more than 80% of their previously outstanding debt. This transformation dramatically improves the company’s financial agility, allowing for greater flexibility in operational strategies moving forward.

The recapitalization was enthusiastically supported by a diverse range of institutional investors, with $150 million injected as junior capital. This infusion of capital is expected to empower SI Group to meet its working capital needs, fund vital operational initiatives, and accelerate growth to fulfill the demands of both customers and business partners.

David Bradley, the President and CEO of SI Group, remarked, “This recapitalization is a crucial step for SI Group. By reducing our debt and securing new investments, we have strengthened our financial base, enabling continued investment in growth and improvement of our operational capabilities to better serve customers worldwide.” He expressed gratitude towards their new institutional investors, reinforcing that their commitment reflects strong confidence in SI Group's strategic vision and positions the firm for long-term success.

As part of this recapitalization process, Latham & Watkins LLP acted as legal counsel, PJT Partners served as investment banker, and AlixPartners LLP provided financial advisory services to SI Group. In parallel, Akin Gump Strauss Hauer & Feld LLP offered legal advice while Lazard acted as the investment banker for a group of ad hoc lenders associated with the company’s second lien loans. Baker Botts L.L.P. was also involved as legal counsel for shareholders prior to the transaction.

About SI Group

SI Group is renowned for its pioneering innovation in high-performance additives, process solutions, and chemical intermediates. Their products play a pivotal role in enhancing the quality and performance of various industrial and consumer goods across multiple sectors including plastics, rubber, adhesives, fuels, lubricants, oil fields, and pharmaceuticals. With a vast global footprint that encompasses 18 manufacturing plants across three continents, SI Group serves customers in 80 countries and proudly employs around 1,600 individuals worldwide.

In recognition of its commitment to corporate social responsibility, SI Group received a bronze award from EcoVadis in 2025, placing it among the top 35% of over 150,000 companies globally. SI Group is dedicated to driving change and creating value in safety, chemistry, sustainability, and extraordinary outcomes.

For more information about SI Group and its initiatives, visit www.siigroup.com.

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