Dow To Sell Its Flexible Packaging Laminating Adhesives Business To Arkema For $150 Mln

(RTTNews) - Thursday, Dow Inc. (DOW) announced the signing of an agreement to sell its flexible packaging laminating adhesives unit, which falls under Dow's Packaging & Specialty Plastics division, to Arkema for $150 million, equivalent to around 10 times the projected 2024 EBITDA.

Jim Fitterling, Dow chair and CEO stated,"Proceeds will help us advance our long-term Decarbonize & Grow and Transform the Waste strategies designed to capture more than $3 billion in annual earnings growth by 2030."

As per the agreement, Arkema will take over five manufacturing sites located in Italy, the United States, and Mexico, which include Solvent-Based Laminating Adhesives, Solventless Laminating Adhesives, and Heat Seal Coatings product families.

The deal is scheduled to be concluded by the end of 2024, pending regulatory approval.