On December 1, 2017, Dow Chemical, a subsidiary of DowDuPont (DWDP) announced the completion of the sale of a portion of Dow AgroSciences corn seed business in Brazil to CITIC Agri Fund. The deal was announced on July 11, 2017, and aims to facilitate the merger between Dow Chemical and DuPont.
The sale was valued at $1.1 billion and included seed processing and seed research plants, a copy of Dow AgroSciences Brazilian corn germplasm bank, the Morgan seed brand, and the Dow Sementes brand for a specified period.
This divestiture of assets had generated revenues of $287 million in 2016. The completion of the sale of this business helps DowDuPont one step closer to the intended spin-off of its agriculture company.
DowDuPont had earlier announced that the intended spin-off is expected to be completed within 18 months of the date of the merger between Dow Chemical and DuPont. The merger was completed on August 31, 2017.
View more information: https://marketrealist.com/2017/12/dow-chemical-completes-sale-corn-seed-business/