Valhi, Inc. (NYSE:VHI) Files An 8-K Changes in Control of Registrant

A wholly-owned subsidiary of Contran Corporation (“Contran”) owns approximately 92% of the registrant’s outstanding common stock. A majority of Contran’s outstanding voting stock is held directly by Lisa K. Simmons and Serena Simmons Connelly and various family trusts established for the benefit of Ms. Simmons and Ms. Connelly and their children and for which Ms. Simmons or Ms. Connelly, as applicable, serves as trustee (the “Other Trusts”). The remainder of Contran’s outstanding voting stock is held by the Harold C. Simmons Family Trust No. 2 (the “Family Trust”), which was established for the benefit of Ms. Simmons and Ms. Connelly and their children and for which Ms. Simmons and Ms. Connelly previously served as co-trustees.

The registrant is filing this current report on Form 8-K to report the appointment on September 3, 2019 of a new trustee of the Family Trust, as described more fully below.

As previously reported in the registrant’s current report on Form 8-K filed with the Securities and Exchange Commission on July 22, 2019, upon entry of an agreed final judgment by the probate court of Dallas County in the state of Texas (the “Final Judgment”), and effective July 16, 2019, Ms. Simmons and Ms. Connelly appointed Terri Lacy and Kalita Blessing, respectively, as successor co-trustees of the Family Trust. Effective September 3, 2019, each of Ms. Lacy and Ms. Blessing resigned as a trustee of the Family Trust. Effective September 3, 2019, each of Ms. Simmons and Ms. Connelly appointed Tolleson Private Bank as successor trustee of the Family Trust (the “Trustee”). to the Final Judgment, Ms. Simmons and Ms. Connelly retain the ability to appoint qualifying successor trustees of the Family Trust if the current trustee resigns or otherwise does not serve as trustee.

Ms. Simmons and Ms. Connelly serve as co-chairs of the board of directors of Contran, and one other member of Contran management also serves on the board of directors of Contran. Ms. Simmons and Ms. Connelly each has the power to vote and direct the disposition of shares of Contran voting stock they hold directly or which is held by the Other Trusts for which they serve as trustee. The Trustee of the Family Trust has the power to vote and direct the disposition of the shares of Contran voting stock held by the Family Trust. Based on the foregoing, Ms. Simmons, Ms. Connelly and the Family Trust (and the Trustee, in its capacity as trustee of the Family Trust) may be deemed to control Contran and, indirectly through such wholly-owned subsidiary of Contran, the registrant.

About Valhi, Inc. (NYSE:VHI)

Valhi, Inc. is a holding company. The Company operates through four segments: Chemicals, Component Products, Waste Management, and Real Estate Management and Development. The Chemicals segment operates through Kronos Worldwide, Inc., which produces and markets titanium dioxide pigments. The Component Products segment operates through CompX International Inc., which manufactures security products used in the recreational transportation, postal, cabinetry, tool storage, healthcare and a range of other industries. The Waste Management segment operates through Waste Control Specialists LLC, which offers processing, treatment, storage and disposal of hazardous, toxic and other wastes. The Real Estate Management and Development segment operates through Basic Management, Inc. (BMI) and The LandWell Company (LandWell). BMI provides utility services to industrial and municipal customers. LandWell develops land holdings for commercial, industrial and residential purposes.