Dupont edges lower, announces deal to buy Donatelle Plastics

Xylem

25/06/2024 15:25

** Shares of chemical maker Dupont de Nemours  DD.N  down
marginally at $80.90 after markets open
    ** Company announced agreement to acquire Donatelle Plastics
Incorporated, a medical device contract manufacturer;
transaction expected to close in 3Q24
    ** Bloomberg News reported on Monday that DuPont's water
business was drawing takeover interest from potential industry
buyers like Xylem  XYL.N  and Veralto  VLTO.N , citing people
with knowledge of the matter 
    ** Company's water business could be valued at $6 bln or
more, including debt, according to the report 
    ** In May, DuPont said it would split into three
publicly-traded companies, spinning off its electronics and
water businesses 
        ** "We think DD management is open to selling should
there be a substantial bid... We expect the potential universe
of acquirers to be wider, as DD's Water business is relatively
unique and a marquee asset with global technology and market
share leadership" - KeyBanc Capital Market analysts
    ** Shares up 17.2% YTD

 (Reporting by Seher Dareen in Bengaluru)
 ((Seher.Dareen@thomsonreuters.com;))