DuPont Plans to Sell Automotive Painting Business $4 Billion

Business News Agency October 31 sources revealed that the US industrial giant DuPont plans to sell its automotive paint business to focus on the development of food additives and other businesses with better growth prospects. It is reported that the deal is expected to bring up to $4 billion in revenue for DuPont.

According to sources, DuPont has hired the Swiss financial institution Credit Suisse Group as its financial advisor in order to find a suitable buyer for the Performance Coatings automotive painting business. Sources also said that up to now, Credit Suisse has not started the inquiry and auction procedures for the business. Since DuPont has not yet made public trading plans, the source refused to disclose its identity.

Sources said that the plan to sell the paint business valued between 3 billion to 4 billion US dollars, including a smaller powder coating business, and DuPont plans to sell the latter alone. Earlier this month, sources revealed that Green (paint online) hill & Co. The sale of the powder coating business is underway for DuPont.

According to DuPont's 2010 financial report, of the company’s $31.5 billion in operating revenue, the automotive painting business contributed approximately 12% of its operating revenue, while its operating profit contribution was only 5.1%. In last year's operation of Performance Coatings, the refurbishment car painting business generated operating revenue of approximately US$1.7 billion. The new car painting business generated operating revenue of approximately US$1.2 billion, and the sales revenue from the sale of powder and liquid paint was 9.5. Billion dollars or so.