Divestment for $1.8bn to 'streamline portfolio and improve financial profile...'
Wilmington, Delaware – DuPont has agreed to sell its Aramids business to Arclin, a US-based polymer technology company for $1.8 billion (€1.54 billion).
The deal includes DuPont’s Kevlar and Nomex brands and is scheduled to close in the first quarter of 2026, subject to customary closing conditions and regulatory approval.
Among many other applications, Kevlar fibers are used as reinforcement in tires as well as automotive belts and hoses, the supplier's online profile shows.
Nomex fibres have high heat and chemical resistance and are used in various applications, including automotive, aerospace, military and PPE.
At close-of-deal, DuPont will receive pre-tax cash proceeds of $1.2 billion, subject to customary transaction adjustments and a note receivable of $300 million.
DuPont will also receive a 'non-controlling common equity interest' in the future Arclin company currently valued at $325 million, which is expected to represent 17.5% stake.
The move is part of the optimisation process to of the ‘new DuPont’ portfolio, according to Lori Koch, DuPont CEO.
“The Aramids transaction further enhances the strategic focus of our portfolio, while also increasing the growth and margin profile,” said Koch.
According to the DuPont chief executive, the transaction is structured to maximise value for shareholders by providing “significant cash proceeds” at close.
The proceeds, will be used to "drive value creation, while also allowing DuPont shareholders to participate in Arclin’s growth potential through our retained equity interest.”
DuPont's Aramids business employs 1,900 people and operates five manufacturing sites. It generated sales of $1.3 billion in 2024.
Alpharetta, Georgia-headquartered Arclin is a manufacturer of 'polymer technologies', engineered products and specialised materials for a wide range of industries.
Arclin has offices and manufacturing facilities throughout the US, Canada, and the UK and manufactures for customers worldwide.
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