* Auction for Cytec unit in final leg, decision soon-sources
* Other suitors, such as Apollo, no longer involved-sources
* Deal expected to be worth around $1 bln-sources
By Soyoung Kim and Greg Roumeliotis
NEW YORK, Sept 19 Private equity firms Advent
International and Rhone Group LLC have emerged as the lead
bidders for Cytec Industries Inc's coating resins
business that could fetch around $1 billion, according to two
people familiar with the matter.
The specialty chemicals company has narrowed the list of
potential buyers to Advent and Rhone after reviewing final bids,
and is expected to make a decision about a buyer soon, the
people said on Wednesday.
The other suitors that also pursued a buyout of the Cytec
business, such as Apollo Global Management LLC, are no
longer involved in the auction, according to the sources and
other people familiar with the matter.
Cytec said in May it started looking for a buyer for the
business, which makes coating products such as varnishes and
specialty paints and represented roughly half of the company's
revenues last year.
The sources asked not to be named because details of the
auction are not public.
JPMorgan Chase & Co, which is advising Cytec on the
sale, declined to comment, so did representatives of Advent and
Rhone Group. Cytec and Apollo were not immediately available for
Its coating resins business makes materials used in products
ranging from printing inks and papers to cars and cell phones.
The business has been less profitable than Cytec's other
segments that make adhesives and other products for aerospace
and industrial markets, as well as mining chemicals and
additives for plastics.
Cytec has said it will focus on expanding in its
higher-margin segments and in April announced a $439 million
deal to buy U.K.-based Umeco Plc, whose products include
materials for Formula One cars.
The Woodland Park, New Jersey-based company's shares closed
at $65.03 on the New York Stock Exchange on Wednesday, valuing
the firm at around $3 billion.