DuPont Scraps Plan to Shed Water Unit | Global News Avenue

Chemicals and materials manufacturer DuPont (DD) on Thursday changed its plans to spin off into three separate companies.

The company said it would speed up spin off its electronics business and scrapped plans to spin off its water unit. The electronic spin-off is scheduled for November 1 this year.

Company follows in the footsteps of industrial conglomerates General Electric (General Electric) and 3M (MMM) when it announced last May that it would Split into three separate companies Over the next 18 to 24 months. At the time, then-CEO Ed Breen said the move would “unlock incremental value for shareholders and customers and create new opportunities for employees.” He added that it would allow every company “Be more flexible in pursuing your own focused growth strategies,” including potential growth strategies. mergers and acquisitions.

DuPont said Thursday that it had “evaluated all strategic options” and determined that retaining the water unit was the best way to create value for the unit. Breen, the current executive chairman, said DuPont remains “confident in the opportunity to create significant shareholder value through the spin-off of its electronics business.”

In addition to the spin-off update, DuPont also reiterated fourth-quarter and full-year guidance.

DuPont shares fell about 0.5% intraday Thursday, but are still up about 3% over the past year.