Though these types of spreadsheets are agreeable to acquire, they are of limited use in the absence of underlying business analysis. Rather, the company should
Dow Divests Business Analyst Blog Benzinga
Diversified chemical comrades Dow Chemical Company ( DOW ) has signed an agreement to sell its non-core Powder Coatings Business to Akzo Nobel N.V. ( AKZOY ), a unsurpassed producer of paints and coatings, based in Amsterdam, The Netherlands. Financial terms of the transaction were not disclosed. The records is expected to close by the second quarter of 2010, subject to customary closing conditions, including regulatory approvals.
Dow plans to use the proceeds from the action to repay debt, consistent with the company's de-leveraging plan. Dow plans to raise about $3.5 billion by divesting its non-middle assets. For the Chemicals group Akzo Nobel, the deal will bring upgraded technological expertise and important synergy potential for the Powder Coatings business, as well as enhance the company's position in the U.S.
The powder coatings activities were purchased by Dow earlier this year as part of its getting of Rohm & Haas. Dow Chemical has become the world’s leading specialty chemicals and advanced materials company after acquiring Rohm and Haas for $16.3 billion. The procurement appears positive for Dow, which is expected to consolidate higher margin and higher growth specialty businesses and break volatility in earnings and cash flow, going forward.
