- Solstice and Element Solutions agreed to terminate Solstice’s planned $14.5 billion acquisition with no termination fees payable by either party.
- Solstice authorized a $500 million share repurchase program funded with cash on hand, using open-market purchases, accelerated repurchases or negotiated block transactions.
- The company reaffirmed Q3 2026 guidance of $990 million to $1.03 billion in net sales and FY26 guidance of $4.125 billion to $4.185 billion in net sales, $1.035 billion to $1.055 billion in adjusted EBITDA and $2.75 to $2.95 in adjusted diluted EPS.
- SOLS shares rose 12.76% to $63.53 after the merger termination and buyback announcement.
Quotes
“Following conversations with our shareholders and discussions between the parties, both Boards unanimously believe that it is in the best interests of our respective shareholders, employees and customers to terminate the merger agreement.”
“Our first share repurchase program underscores the Board and management team's confidence in Solstice's long-term strategy, growth prospects and ability to create value for shareholders, as well as our commitment to disciplined capital allocation and returning capital to shareholders.”
“As demonstrated by our reported results and recently increased guidance, which we are reaffirming today, the Solstice team is executing well and with discipline across our operations.”