Rhodia signs a letter of intent with Feralco for the sale of its potable and waste water treatment business

26-May-2004

Rhodia today announced the signature of a letter of intent with Feralco AB for the sale of the Group's potable and waste water treatment business. Mainly targeting the European market, this business generated sales in 2003 of 26.5 million euros.

The two parties expect to reach a sale agreement over the next few weeks after consultations have been held with employee representatives and legal authorizations received.

Feralco AB manufactures and sells performance chemicals for the water treatment and paper industries. Feralco AB is based in Sweden and generated net sales of 23 million euros in 2003. This transaction will enable Feralco to reinforce its positions in continental Europe and in the water treatment market.

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