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The Dow Chemical Co. is looking to sell its polypropylene licensing and catalyst business and its plastics additives unit.Dow is targeting an increased divestiture list of nearly $1.5 billion over the next 18 months, the company said.

PlasticsToday Staff

March 14, 2013

1 Min Read
Dow to divest polypropylene licensing and catalyst business and plastics additives unit

. is looking to sell its polypropylene licensing and catalyst business and its plastics additives unit.

Dow is targeting an increased divestiture list of nearly $1.5 billion over the next 18 months, the company said.

"Today's announcement is yet another proof point of Dow's rigorous focus on return on capital, and is squarely in line with commitments we made earlier this year," said Andrew N. Liveris, Dow's chairman and CEO, in a news release. "We are reviewing our entire portfolio and seeking even further opportunities to optimize value: selectively pruning assets that are no longer a strategic or financial fit—all in an effort to accelerate value creation and deliver long-term, sustainable growth for the company."

Since 2009, Dow has divested non-core businesses representing approximately $8 billion in revenue. In January, the company divested the stabilizers component of its plastics additives business, and entered into a definitive agreement to sell its 50% ownership in Nippon Unicar Co., a Japanese joint venture in the Dow electrical and telecommunications business.

Dow polypropylene licensing and catalysts offers technology for producing polypropylene, including UNIPOL PP Process Technology, CONSISTA D7000 Donor and SHAC Catalyst with Advanced Donor Technology (ADT). In 2011, Brazilian plastics and petrochemical giant Braskem purchased Dow's polypropylene business for $323 million, but that transaction did not include the company's polypropylene licensing and catalyst business and related catalyst facilities.

Dow plastics additives is a worldwide supplier of additives used in a large variety of applications ranging from construction materials and packaging containers to consumer appliances and electronics, business machines and automotive parts.

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