DuPont and Dow flesh out merger plans
22 Feb 2016
DuPont and Dow Chemical Company have announced the new corporate structure that is likely to result from their proposed merger announced late last year.
The companies said they intended to create three independent, publicly-traded companies focused on agriculture, material science and specialty products.
The Independent Agriculture company, which will feature DuPont in the company name, will unite the seeds and crop protection businesses from DuPont and Dow.
It would be headquartered in Wilmington, Delaware, and also serve as corporate headquarters for the entire group, the companies said.
The new Material Science company, which will be headquartered in Midland, Michigan, will feature Dow in its name.
The companies said this would combine DuPont’s performance materials segment with Dow’s performance plastics, materials and chemicals operating segments. Dow’s infrastructure, consumer care and automotive solutions (excluding electronic materials) will also become part of the company.
The new Specialty Products company will be composed of DuPont’s nutrition & health, industrial biosciences, and protective solutions businesses as well as the integration of DuPont’s electronics & communications business with Dow’s electronic materials business unit.
This would be dual headquartered in Wilmington, Delaware and Midland, Michigan, the companies said.
Edward Breen, chairman and chief executive officer of DuPont has previously described the merger as "an extraordinary opportunity to deliver long-term, sustainable shareholder value through the combination of two highly complementary global leaders and the creation of three strong, focused, industry-leading businesses."
The merger is due for completion second half of 2016, subject to regulatory approvals. Andrew Liveris, chief executive of Dow, has announced plans to exit the combined company once the merger is complete.
