Tronox is a leading global producer of titanium dioxide, a common pigment used in paints, coatings, and plastics. The company was formed in 2005 through the merger of Kerr-McGee and Tronox Inc.
Tronox operates in several countries, including the United States, Australia, and South Africa. Its products are used in various industries, such as coatings, plastics, and paper.
Tronox has a significant presence in the titanium dioxide market, with a global production capacity of over 2 million tons per year.
Company History
Tronox was spun off from Kerr-McGee in 2005-2006, after demands were made by corporate raider Carl Icahn.
The company went public on November 21, 2005, through an initial public offering.
Tronox replaced Meade Instruments on the S&P SmallCap 600 index in the first quarter of 2006, after Kerr-McGee distributed the rest of its stock in Tronox.
The company's stock price declined significantly in 2008, and both classes of stock became penny stocks.
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In September 2008, Tronox moved from the NYSE to OTC.
Tronox filed Chapter 11 bankruptcy on January 14, 2009.
The company emerged from Chapter 11 bankruptcy on February 14, 2011.
Tom Casey became CEO in October 2011.
Tronox acquired Exxaro Mineral Sands in 2012, and combined both entities under Tronox Limited, an Australian holding company.
The company acquired Cristal Global, a Saudi Arabian titanium dioxide pigment manufacturer, on April 10, 2019.
Here are some key dates in Tronox's history:
- 2005-2006: Kerr-McGee spins off its chemical business, creating Tronox.
- November 21, 2005: Tronox goes public through an initial public offering.
- 2008: Tronox's stock price declines, and both classes of stock become penny stocks.
- January 14, 2009: Tronox files Chapter 11 bankruptcy.
- February 14, 2011: Tronox emerges from Chapter 11 bankruptcy.
- October 2011: Tom Casey becomes CEO.
- 2012: Tronox acquires Exxaro Mineral Sands and combines both entities under Tronox Limited.
- April 10, 2019: Tronox acquires Cristal Global.
Key Facts
Tronox is a leading global producer of titanium dioxide and other minerals.
The company was founded in 2005 through the merger of Kerr-McGee and Tronox Inc. Tronox has since grown to become one of the largest titanium dioxide producers in the world.
Tronox operates in over 20 countries and has a strong presence in North America, Europe, and Asia.
CEO of Tronox
The CEO of Tronox is John Romano.
He's the one at the helm of the company, making key decisions and guiding its direction.
Employment Numbers
Tronox employs a significant number of people, with 2,536 individuals working for the company.
The company has a substantial workforce, which is a testament to its size and scope.
2,536 people are employed at Tronox.
Where Is Tronox Based?
Tronox is based in Stamford, Connecticut.
Acquisitions
Tronox is making a big move in the market with its acquisition of Cristal for $1.7 billion in cash, plus stock. This deal will create the world's largest producer of titanium dioxide, also known as the white pigment.
Tronox is purchasing Cristal to establish itself as the world's largest producer of titanium dioxide. The combined company will have a 15% share of world mineral sands production, making it the second-largest producer of the TiO2 pigment raw material.
Cristal is the second-largest producer of titanium dioxide in the world, with 860,000 metric tons of annual capacity. It had 2016 sales of $1.7 billion.
The acquisition is expected to further consolidate the market and support higher titanium dioxide prices. Jefferies stock analyst Laurence Alexander agrees, saying the deal will help to thin the global supply glut.
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Tronox will be able to consume all the ore it pulls out of the ground with the combined company, reducing its reliance on the merchant market. This feedstock integration is one of the rationales for the deal.
The combined company will have a more balanced regional presence, with Tronox's heavy presence in North America and Asia complemented by Cristal's operations.
Questions
You might have questions about Tronox, and that's totally normal. Here are some answers to get you started.
What is Tronox? Tronox is a leading global producer of titanium dioxide, a white pigment used in a wide range of products, from paint to food.
Tronox was formed in 2005. It was created by the merger of Kerr-McGee Corporation and Tronox Incorporated.
Tronox is known for its high-quality products. The company has a strong focus on innovation and sustainability in its operations.
Tronox has a significant presence in the global market. The company has operations in the United States, Australia, and South Africa.
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Frequently Asked Questions
What does Tronox make?
Tronox produces high-grade titanium feedstock materials, pig iron, and rare earth-bearing minerals like monazite. They also supply titanium ore and zircon to customers worldwide.
Is Tronox a good stock to buy?
Tronox may be a good investment option for value investors, with a potential to outperform the market. Its valuation metrics and growth prospects suggest it could be a worthwhile consideration for those looking to buy a stock.
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