Elkem to Divest Silicones Division to Bluestar Amid Weaker Q4 Results

Elkem ASA ( (ELKEF) ) just unveiled an announcement.

Elkem ASA reported weaker fourth-quarter 2025 results, with EBITDA down 24% year-on-year to NOK 890 million and operating income falling 14%, pressured by low prices and subdued demand, particularly in Silicon Products and Carbon Solutions. The board proposes no dividend for 2025, citing the equity impact of an upcoming share redemption, while the group maintains a solid balance sheet with a 51% equity ratio and ample liquidity.

In a strategic shift, Elkem agreed to sell the majority of its Silicones division to Bluestar in exchange for the redemption of Bluestar’s entire 338,338,536-share stake, refocusing the company as a pure-play metals and materials business and enhancing financial flexibility. The move follows mixed divisional performance, ongoing trade-related uncertainty, a tragic fatal accident at a Silicones R&D site, and short-term capacity cuts in Norway, but management argues the transaction best positions Elkem and its stakeholders for future growth once markets recover.

The most recent analyst rating on (ELKEF) stock is a Hold with a NOK26.00 price target. To see the full list of analyst forecasts on Elkem ASA stock, see the ELKEF Stock Forecast page.

More about Elkem ASA

Elkem ASA is a Norway-based provider of advanced silicon-based materials, including silicones, silicon products and carbon solutions, serving sectors such as electric mobility, digital communications, health, personal care and sustainable urban development. Listed on the Oslo Stock Exchange with around 7,000 employees globally, the company leverages renewable energy and natural raw materials and generated operating income of NOK 31 billion in 2025.

Average Trading Volume: 880,987

Current Market Cap: NOK18.19B

See more data about ELKEF stock on TipRanks’ Stock Analysis page.