DuPont Co. (DD) agreed to sell its glass laminating and vinyls
business to specialty chemicals company Kuraray Co. (3405.TO) for
$543 million, as the chemicals and materials giant continues to try
refocusing itself to higher growth areas.
The business, which is part of DuPont's packaging and industrial
polymers division, supplies sheets for safety glass and polyvinyl
alcohol products used in architectural, automotive and industrial
applications. The unit had 2012 sales of more than $500 million and
has about 600 employees, with six manufacturing sites in the U.S.,
Europe and Asia.
The deal is expected to close in the first half of next
year.
DuPont has been working to move away from lower growth commodity
businesses toward higher growth areas, including nutritional
products and agriculture. As part of this effort, the company last
month said it is spinning off its performance chemicals business,
which is best known for the materials in nonstick frying pans and
house paints. Earlier this year it completed the sale of its
performance coatings business, which included paints for the
automotive industry, to Carlyle Group L.P. (CG) for $4.9
billion.
DuPont isn't alone in considering asset sales and spinoffs to
focus on higher-growth businesses. Recently, Dow Chemical Co. (DOW)
CEO Andrew Liveris told analysts on a conference call that its
epoxy business faces stiff competition from low cost operators and
that it might make more sense for the business to be part of a
joint venture or spun off.
DuPont shares closed Wednesday at $60.79 and were inactive
premarket. The stock is up 35% so far this year.
Write to Ben Fox Rubin at ben.rubin@wsj.com
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