Solstice to acquire Element Solutions in $14.5 billion cash-and-stock deal

Solstice Advanced Materials and Element Solutions have agreed to a cash-and-stock transaction valued at about $14.5 billion including assumed net debt, under which Element shareholders would receive $10.00 in cash and 0.500 shares of Solstice common stock for each Element share, implying about $50.10 per share and a roughly 15% premium to Element’s July 2, 2026 closing price. Element shareholders are expected to own about 44% of the combined company after closing. Solstice CEO David Sewell said the tie-up would create a world-leading advanced materials supplier for semiconductors, advanced packaging, thermal management, data centers and AI infrastructure, and said Solstice’s post-announcement share decline was driven largely by hedge funds and merger arbitrage trading. Separately, Halper Sadeh LLC and Brodsky & Smith said they are investigating whether Element shareholders are receiving fair value, whether the sale process and disclosures were adequate, and whether deal terms could deter superior offers.