Steeped in rich history, DuPont (NYSE: DD) and Dow Chemical Co. (NYSE: DOW) the massive chemical companies responsible for the development of everything from gunpowder to plastics to pesticides and other agricultural products recently announced plans to merge. Subject to regulatory approval the deal will give shareholders from each company roughly 50% ownership of the new company’s shares. The deal alone is not a shocking development. The two companies have been in talks for years about a possible merger. It’s what this new company will do after the completion of this merger that may… Read More
Steeped in rich history, DuPont (NYSE: DD) and Dow Chemical Co. (NYSE: DOW) the massive chemical companies responsible for the development of everything from gunpowder to plastics to pesticides and other agricultural products recently announced plans to merge. Subject to regulatory approval the deal will give shareholders from each company roughly 50% ownership of the new company’s shares. The deal alone is not a shocking development. The two companies have been in talks for years about a possible merger. It’s what this new company will do after the completion of this merger that may have many scratching their heads. The combined company, to be named DowDuPont, will immediately begin disbanding the moment it begins running as one business. You see, right now, each of the two separate companies operates a number of separate businesses. Like I mentioned, Dow and DuPont make a multitude of agriculture products, specialty chemicals for manufacturing and paints, sealants and insulation products for consumers, and that’s only the tip of the iceberg. There are hundreds – likely thousands – of different products sold be each company if you were to list them all. Obviously, when dealing with such a large… Read More