WILMINGTON, DE - After reporting a decline in earnings for the second quarter, chemical company DuPont is considering the sale of its Performance Chemical segment, which includes its Titanium Technologies business. Operating earnings for the segment declined $330 million in the second quarter of 2013, down 56 percent from the second quarter of 2012.
The company said in a press release that it is considering strategic alternatives for its Performance Chemical segment, which may include a full or partial separation of each of the businesses from the company through a spin-off, sale or other transaction. The segment includes the Titanium Technologies and Chemicals & Fluoroproducts businesses, which generated total sales of $7.2 billion in 2012.
DuPont’s decision to explore strategic alternatives for its Performance Chemicals businesses follows the company’s sale of its Performance Coatings business to The Carlyle Group for $4.9 billion earlier this year.
“As we discussed at our Investors Day in May, we have been carefully weighing the strong cash generation of our Performance Chemicals businesses against their cyclicality and lower growth profile, as well as where the power of DuPont’s integrated science can be differentiated,” said the company’s Chair and CEO Ellen Kullman. “We are evaluating options for our Performance Chemicals businesses as part of our ongoing plan to deliver higher growth and greater value creation for our shareholders.”