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DowDupont revises its break-up plan

by ChemOrbis Editorial Team -
  • 14/09/2017 (18:44)
According to media sources, DowDuPont announced that they revised their post-merger plan on breaking up into three independent companies given concerns of some investors.

According to the new statement, in line with the initial plan, DowDupont will split into three companies focusing on materials science (plastics and materials), agriculture and specialty products. What is changed with the revised plan is the allocation of the group’s operations among these companies.

The company now plans to transfer more than 6 businesses that had previously been intended for the plastics and materials company, namely materials science division, to the specialty-chemical unit. The businesses that are transferred based on the revised plant are expected to account for more than $8 billion in sales and $2.4 billion in EBITDA in 2017.

The reallocation of operations between the materials science and specialty products businesses had always been subject to change, said a chief executive, and the new plans offered a better structure for the successor companies.

Dow Chemical Co and DuPont finalized their planned merger DowDuPont worth of $130 billion on September 1, after the process first kicked off in December 2015.
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