DuPont Finalizes Agreement to Sell Aramids Business to Arclin for $1.8 Billion

DuPont Finalizes Major Agreement to Sell Aramids Business

On August 29, 2025, DuPont (NYSE: DD) reported a significant development in its corporate strategy with the announcement of the divestiture of its Aramids business. This business, known for its production of high-performance synthetic fibers such as Kevlar® and Nomex®, is set to be acquired by Arclin, a prominent industrial partner supported by TJC, L.P.

Strategic Move for DuPont

The transaction, valued at a staggering $1.8 billion, aims to streamline DuPont's portfolio, enhancing its focus on core operations. DuPont's CEO, Lori Koch, highlighted that this move not only optimizes the company's structure but also positions it for greater growth potential and improved margins. At the closing of this deal, which is expected in the first quarter of 2026, DuPont will receive around $1.2 billion in pre-tax cash, along with a note receivable of $300 million, and a significant equity interest in the new Arclin company valued at approximately $325 million.

This decision aligns with DuPont's ongoing strategy to maximize shareholder value. By extracting considerable cash proceeds and maintaining an equity stake in Arclin, DuPont ensures that its shareholders can still participate in the growth trajectory of Arclin following the acquisition.

Future Outlook for Arclin

Bradley Bolduc, Arclin's President and Chief Executive Officer, expressed enthusiasm over the acquisition, stating that adding DuPont's esteemed Kevlar® and Nomex® brands represents a tremendous opportunity for growth. He emphasized that this acquisition would not only enhance Arclin's manufacturing capabilities but also expand its global reach and application development capacities. Moreover, the union is expected to accelerate the introduction of impactful products such as Arclin Firepoint, designed to protect crucial assets and environments.

The Aramids business has a legacy as the largest global producer of its kind, boasting approximately 1,900 employees and five manufacturing sites. In 2024, it generated impressive net sales of $1.3 billion, solidifying its position as an industry leader.

Impact on DuPont’s Other Operations

Importantly, the divestiture of the Aramids business will not impede DuPont's broader restructuring plans, particularly its upcoming spin-off of the electronics division, Qnity, scheduled for November 1, 2025. This separation is intended to further refine DuPont’s strategic focus and financial health.

As DuPont navigates this major transition, it has enlisted top-tier financial advisors, including Centerview Partners and Goldman Sachs, alongside legal support from Skadden, Arps, Slate, Meagher & Flom LLP. For TJC/Arclin, Piper Sandler Company is providing financial advisory services as they look to optimize this new acquisition.

Conclusion

The strategic divestiture of DuPont's Aramids business to Arclin marks a pivotal moment for both companies, with transformative potential that promises to reshape both their futures significantly. As DuPont continues on its path of reorganization, it remains poised to deliver innovative materials and solutions across various industries, ensuring the progressive legacy of its product lines, including those now under Arclin’s banner.