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(Bloomberg) -- French investment firm Wendel SE is weighing a sale of Stahl Holdings BV, a chemical maker for coatings and surface treatments, according to people familiar with the matter.

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Wendel is working with advisers at JPMorgan Chase & Co. and Morgan Stanley on the potential divestment, which could happen as soon as next year, the people said. Stahl may be valued at as much as €2 billion ($2.1 billion) in a deal, said the people, who asked not to be identified as the information is private.

Considerations are at an early stage and Wendel could decide against proceeding with the sale, the people said. Representatives for Wendel, JPMorgan and Morgan Stanley declined to comment, while a spokesperson for Stahl didn’t immediately respond.

Stahl manufactures chemicals for coatings and surface treatments on materials including leather from handbags to car seats. It generated about €914 million in sales last year.

The company has grown through several acquisitions including a purchase of BASF SE’s leather-chemical unit and a similar business of Switzerland’s Clariant AG. Earlier this month, Stahl agreed to sell its wet-end leather chemicals business to Syntagma Capital as it looks to become a pure-play specialty coatings maker for flexible materials.

Wendel and Carlyle Group Inc. acquired Stahl in a €520 million deal in 2006. The Dutch company completed a debt restructuring in 2010 and Wendel now owns a 68% stake, according to the private equity firm’s website. Wendel previously worked with Rothschild & Co. on a strategic review for its stake in Stahl with options including an initial public offering or a sale, Bloomberg News reported in 2018.

A potential sale of Stahl could add to the recent dealmaking activity in the chemical sector. Carlyle has revived plans for an IPO of specialty chemicals producer Nouryon and is separately exploring a sale of Nobian, which was spun out of Nouryon in 2021, Bloomberg News reported in September.

Paris-listed Wendel last year unveiled a new strategic direction to build out a new asset management business overseeing third-party money. It bought a majority stake in mid-market buyout firm IK Partners earlier this year. In October, family-backed Wendel agreed to acquire a majority stake in US private credit lender Monroe Capital for $1.13 billion.