Dow: Withdrawal from carbon fibre joint venture DowAksa

US chemical company Dow is selling its stake in the joint venture DowAksa Advanced Composites Holdings.

According to a press release, the company signed an agreement in early June to sell its 50 per cent stake to Turkish joint venture partner Aksa Akrilik Kimya. The financial volume of the transaction is estimated at around USD 125 million. The sale is expected to be completed in the third quarter of this year, subject to approval by the relevant regulatory authorities.

Advert

DowAksa was founded in 2012 as a 50-50 joint venture between Dow and Aksa Akrilik Kimya, an acrylic fibre manufacturer owned by Turkey's Akkök Holding. The company develops and manufactures composite materials based on carbon fibres and is based in Yalova near Istanbul. Last year, a new 117,000 square metre production complex was completed at the Yalova site.

With its withdrawal from the joint venture, Dow is pursuing its strategy of focusing on its core business in the high-margin downstream sector. According to the press release, the proceeds from the sale of the stake will be used to support the group's approach of ‘balanced capital allocation’.

Dow, based in Midland, Michigan, is one of the world's leading chemical companies and primarily develops and manufactures materials for the packaging industry, the infrastructure sector, the mobility sector and the consumer goods industry. The group has more than 90 production sites in 30 countries and employs a total of around 36,000 people worldwide. For the 2024 financial year, Dow reported a net profit of USD 1.116 billion on sales of USD 42.964 billion.

More information: www.dow.com, www.dowaksa.com, www.aksa.com/tr

Dow, Rotterdam, Netherlands