LONDON — British construction giant Beazer PLC said Monday that it had reached an agreement to sell the chemical operations of Koppers Co. to a management-led group for $660 million as it had previously pledged to do.
Beazer bought the Pittsburgh-based company last month for $1.8 billion after a long, much-publicized struggle with Koppers.
Beazer at the time said it wanted to sell the chemical operations because they did not fit in with the construction group's overall strategy. The British firm came under heavy pressure to sell the unit to its managers in order to preserve jobs in the Pittsburgh area. Beazer gave the managers 45 days to come up with a buyout plan for the unit, which employs 4,000.
Beazer said it intends to keep Koppers' two other main operations, building materials and services businesses, which have annual revenue of about $1 billion. The operations are expected to expand Beazer's U.S. operations to 50% of its total business from 37% currently.
Koppers' chemicals business has annual revenue of about $600 million.
As a condition for the takeover, Beazer agreed to work with the city of Pittsburgh and the Allegheny County government to let the managers of Koppers' CAP chemicals operation buy the business. Beazer also agreed to keep Koppers' headquarters in Pittsburgh for at least three years.