DuPont and Dow Chemical Company announced that the stockholders of both companies have voted to approve all stockholder proposals necessary to complete the “merger of equals transaction,” a key milestone in the process to merge the two companies and subsequently pursue the intended spin-offs of three highly focused, independent companies.
The companies expect the merger, which was was announced last December, to close in the second half of 2016, subject to customary closing conditions, including receipt of regulatory approvals.
The combined company would be named DowDuPont and will have a combined market capitalization of approximately USD 130 billion.
“The overwhelming support of Dow and DuPont stockholders to approve this historic merger transaction is a clear testament to the compelling value proposition and enhanced shareholder value that DowDuPont represents,” said Andrew N. Liveris, Dow’s chairman and chief executive officer.
“We are now focused on important next steps toward completing the merger transaction, including working with regulators in the appropriate jurisdictions,” said Ed Breen, chair and chief executive officer of DuPont.
DuPont and Dow intend that, following the consummation of the merger, the combined company will pursue the separation of the combined company’s Agriculture business, Material Science business and Specialty Products business into three independent, publicly traded companies, subject to approval by the DowDuPont board and receipt of any required regulatory approvals.
The intended subsequent separation into three independent, publicly traded companies is expected to be consummated as soon as practicable following the merger closing, but consummation of the separations is not expected to exceed 18-24 months after the merger closing.