DowDuPont announced that DuPont has completed its acquisition of FMC Corporation’s Health & Nutrition business, minus the Omega-3 business, and the sale to FMC of a portion of DuPont’s Crop Protection business.
The piece of the crop protection business was sold to meet antitrust concerns.
The transaction includes DuPont getting $1.6 billion to reflect the difference in the value of the assets, including cash of $1.2 billion and working capital of approximately $400 million, subject to customary adjustments.
The acquisition will improve the DuPont business’s position as a leading provider of bio-based food ingredients and expands its capabilities into the fast-growing pharma excipients space, a release stated.
The deal includes FMC’s Newark site, which has undergone upgrades and expansions.
DuPont N&H’s markets to the food, beverage, dietary supplement and pharmaceutical industries. The business is part of the DowDuPont Specialty Products Division.
DuPont also completed the divestiture of its Cereal Broadleaf Herbicides and Chewing Insecticides portfolio to FMC. FMC will occupy a portion of the Stine-Haskell R&D complex near Newark.
“FMC is excited to close our crop protection transaction with DuPont, which includes the Stine Research Center. We look forward to investing in the site, its people, and world-class research for leading crop protection technologies used around the world, said Dwayne Roark director of corporate communications at FMC.
In addition, DuPont divested its Crop Protection R&D pipeline and organization, excluding seed treatment, nematicides and late-stage R&D programs, which it will continue to develop and bring to market, and excluding personnel needed to support marketed products and R&D programs that are now part of the DowDuPont Agriculture Division, a release stated.
DowDuPont will be spun off into three companies that will include Specialty Products, Materials Science (to be named Dow) and agriculture. Specialty Products and Agriculture will be based in Delaware.
