DuPont shelves plans to separate water business into separate entity
Chemicals behemoth DuPont has shelved plans to separate its water business into a separate entity.
The company said in a recent statement that it would retain its more than $1.5 billion water business while accelerating the separation of its electronics business, with a target of November 1, 2025 for completion of the transaction.
The company said it has evaluated all strategic alternatives and concluded the best path to generate value is for the water business to remain in the DuPont portfolio. This also enhances DuPont’s ability to continue optimizing its portfolio following the electronics separation.
“We remain confident in the opportunity to create significant shareholder value through the separation of the Electronics business,” said DuPont Executive Chairman Ed Breen. “Achieving an independent Electronics company as soon as possible is the right decision for our shareholders.”
“We remain excited about the value creation opportunity for DuPont following the Electronics separation,” said DuPont Chief Executive Officer added Lori Koch in the statement.
“The decision for Water to remain with DuPont provides the new organization with greater strategic flexibility over time and another high growth business alongside Healthcare. We continue to have conviction in the attractive outlook for Water and expect 2025 to be a strong year for the business.”
DuPont had announced in May 2024 a plan to separate each of its electronics and water businesses in a tax-free manner to its shareholders. In the water sector, the company is a global leader in purification and specialty-separation technologies and provides “membrane science and ion exchange solutions”.
