DuPont Completes Divestiture of Biomaterials Business

Rhea-AI Summary

DuPont completed the sale of its Biomaterials business unit to the Huafon Group for approximately $240 million, effective May 31, 2022. The business unit reported net sales of around $200 million for the full year 2021. This divestiture aligns with DuPont's strategy to focus on core operations and enhance shareholder value. The Huafon Group, a leading manufacturer in polyurethane materials, aims to leverage this acquisition to expand its portfolio and commitment to sustainability.

Positive

• Successful divestiture of the Biomaterials business unit for $240 million enhancing liquidity.
• Focus on core operations potentially improving overall company performance.

Negative

• Loss of a business unit that contributed approximately $200 million in net sales in 2021.

WILMINGTON, Del., June 1, 2022 /PRNewswire/ -- DuPont (NYSE: DD) today announced completion of the previously-announced sale of its Biomaterials business unit, effective May 31, 2022, to the Huafon Group for a purchase price of approximately $240 million.

The results of operations of the Biomaterials business unit were previously reported in Corporate & Other. For full year 2021, the Biomaterials business unit recorded net sales of approximately $200 million.

About DuPont
DuPont (NYSE: DD) is a global innovation leader with technology-based materials and solutions that help transform industries and everyday life. Our employees apply diverse science and expertise to help customers advance their best ideas and deliver essential innovations in key markets including electronics, transportation, construction, water, healthcare and worker safety. More information about the company, its businesses and solutions can be found at www.dupont.com. Investors can access information included on the Investor Relations section of the website at investors.dupont.com.

About the Huafon Group
Founded in 1991 and headquartered in Ruian, China, the Huafon Group has been innovating to provide new material solutions globally in multiple industries by promoting sustainability, safety, technology and quality. Huafon Group is one of the largest manufacturers of polyurethane (PU) materials in the world with broad product portfolio in adipic acid, polyester polyols, spandex filament, microfiber material, TPU, polyamide etc. Huafon Group has more than 14,000 employees and owns multiple subsidiary companies globally in chemical, metals, finance, logistics, information technology and trade.

DuPont™ and all products, unless otherwise noted, denoted with ™, ^SM or ® are trademarks, service marks or registered trademarks of affiliates of DuPont de Nemours, Inc.

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SOURCE DuPont

FAQ

What was the sale price of DuPont's Biomaterials business unit?

The Biomaterials business unit was sold for approximately $240 million.

When was the sale of DuPont's Biomaterials business unit completed?

The sale was completed on May 31, 2022.

How much revenue did the Biomaterials business unit generate in 2021?

The Biomaterials business unit recorded net sales of approximately $200 million in 2021.

Who acquired DuPont's Biomaterials business unit?

The Biomaterials business unit was acquired by the Huafon Group.

What impact does the divestiture have on DuPont's financials?

The divestiture enhances liquidity but results in the loss of a revenue-generating unit.