Merck sells Surface Solutions business to GNMI for USD 724M
This move marks Merck’s strategic realignment towards core, high-tech industries to drive long-term innovation and growth.
CHINA – Merck has completed the sale of its global Surface Solutions business to Global New Material International Holdings Ltd. (GNMI), one of the world’s largest pearlescent pigment producers, for €665 million(USD 724.2 million) in cash.
The transaction, finalized on July 31, 2025, marks a strategic divestment by Merck to sharpen its focus on technology-driven businesses, particularly in the electronics sector, targeting next-generation chip development.
Merck plans to use the proceeds from the sale to strengthen its core strategic businesses.
The acquisition expands GNMI’s geographical reach and production capabilities, adding key production hubs in Germany, Japan (Onahama), and the United States (Savannah, Georgia).
AS part of the agreement, the Surface Solutions business will continue under the new brand name Susonity, maintaining its headquarters in Gernsheim, Germany, and establishing three regional headquarters in Germany, the US, and Asia.
In addition, Merck will remain the owner of the Gernsheim production site land, leasing it long-term to GNMI, while the GreenTech Park Fluxum in Gernsheim remains unaffected by the sale.
The companies have also entered into supply and service agreements to ensure a seamless transition.
Belén Garijo, Chair of the Executive Board and CEO of Merck, stated, “With the closure of this transaction, we are further sharpening our portfolio focus on technology-driven business.”
“Alongside the recent acquisitions of SpringWorks Therapeutics, HUB Organoids, Unity-SC, and Mirus Bio, the divestiture of non-strategic business remains a key component of our M&A strategy, geared toward ensuring long-term growth through innovation.”
The Surface Solutions business, which generated sales of over €400 million(USD 467.2 million) in 2024, offers pigment solutions used in coatings, industrial, and cosmetic applications.
Approximately 1,100 employees, including more than 600 based in Germany, have transferred to GNMI as part of the deal.
GNMI has guaranteed job security for these employees and a site guarantee for the Gernsheim production facility in Germany until 2032.
GNMI specializes in effect pigments and mica-based products and has a strong presence in the Asian market, particularly China.
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