DuPont (NYSE: DD) reported entry into a definitive agreement with Celanese Corporation (NYSE: CE) to divest a majority of the Mobility & Materials segment including the Engineering Polymers business line and certain product lines within the Performance Resins and Advanced Solutions business lines for USD 11 Billion in cash. Subject to customary transaction adjustments. Celanese has received full financing in connection with the transaction that is expected to close around the end of 2022, subject to customary closing conditions and regulatory approvals. “The transaction with Celanese that we are announcing today will create a market-leading portfolio serving the automotive, consumer and industrial markets with unmatched scale, manufacturing capability and technical expertise,” said Ed Breen, Executive Chairman and Chief Executive Officer of DuPont. “We are proud of the strength of these industry-leading businesses, which we believe will be even stronger when combined with the highly complementary portfolio of Celanese. We are excited for Celanese to partner with the team and we are confident that together they will continue to drive industry-defining material science innovation to serve customers and the value chain.”
“We are excited to welcome our future colleagues from DuPont who have built a world-class product and technology portfolio which is highly regarded in the industry,” said Lori Ryerkerk, Celanese Chairman and Chief Executive Officer. “Our businesses are highly complementary which will accelerate our growth in high-value applications including future mobility, connectivity and medical.”
“Today’s announcement represents a significant milestone in DuPont’s transformation as a premier multi-industrial company building upon our recent acquisition of Laird Performance Materials and our intended acquisition of Rogers Corporation to further define DuPont as a market leader in the areas of electronics, water, industrial technologies, protection and next generation automotive,” Breen continued. “This agreement also generates significant value for DuPont shareholders. After consideration of multiple deal structures, including a range of potential buyers, we are confident that our announced transaction with Celanese maximizes value for our shareholders and positions the business and our employees for long-term success.” “Delrin® acetal homopolymer (H-POM) is an industry leading technology utilized by customers around the world to meet their most demanding needs,” Breen said. “There is substantial interest in this high-quality asset and I am confident that the anticipated sale of Delrin® will generate additional value for DuPont shareholders.”
DuPont plans to use the net proceeds from the divested M&M businesses to fund the previously announced acquisition of Rogers Corporation.