The largest chemical maker in the US, Dow Chemical on Wednesday said it will sell another $900 million strategic assets from its Calcium Chloride unit for $210 million to pay down its debt on its Rohm and Haas acquisition of $16.4 billion.
It has signed to sell its Calcium Chloride business and its joint-venture interest in crude oil refinery in the Netherland to Valero Energy Corp for $725 million as it try to improve its cash position.
We are delivering on our commitments ahead of schedule and creating the momentum needed to strengthen our financial position and create a faster path to earnings growth,” said Andrew N. Liveris, Chairman and CEO of Dow. These asset sales at valuations that result in significant de-leveraging represent another major step for the company despite a challenging economic environment.
Recently, the Company has sold more than $2.6 billion in non-strategic assets early this year and it plans to raise $4 billion by selling its assets and at least $1.5 billion from Rohm and Haas’s Morton Salt acquisition and has slashes 3,500 jobs.
Shares of Dow rose $0.09 or 2.18 at $18.27 in the regular trading.