DuPont Co. is considering the sale of some or all of its Performance Chemicals unit, which includes the firm’s Teflon-brand fluoropolymer and Ti-Pure brand titanium dioxide businesses.
“DuPont’s consideration of strategic alternatives … may include a full or partial separation of each of these businesses from the company through a spin-off, sale or other transaction,” officials with Wilmington, Del.-based DuPont said in a July 22 news release.
“We have been carefully weighing the strong cash generation of our Performance Chemicals businesses against their cyclicality and lower growth profile,” Chairman and CEO Ellen Kullman said in the release.
Sales have been slow, even though the Performance Chemicals unit is the second largest DuPont business. DuPont blame raw material price increases, Higher Operating cost and lower selling prices.
Nonetheless, Teflon is a well recognized brand as a non-stick coating and in high-end industrial applications. TiO2 is a common whitener used in many paint formulations, plastics and other applications.
News of the possible sale and of some staff changes at DuPont had little impact on the company’s stock price, which was up three percent to around $59 in early trading July 23. The stock price is up almost 31 percent so far in 2013.
But…. will the brand suffer from new ownership? Only time will tell.