Reuters DuPont said on Monday it would buy Laird Performance Materials for 2.3 billion from private equity firm Advent International, as it looks to expand its portfolio of advanced electronic materials.
Electronics materials have been a growth area for DuPont as key markets including smart or autonomous vehicles, fifth generation telecommunications, artificial intelligence, internet of things, and highperformance computing gain traction.
The industrial materials maker said it expects to realize about 60 million in pretax runrate cost synergies by the end of 2024 with the majority realized in the first 18 months after the deal closes, which is expected in the third quarter of 2021.
The estimated onetime cost to achieve these synergies is about 40 million and DuPont expects the deal to be accretive to its operating core earnings margins, free cash flow, and adjusted earnings per share within the first 12 months.
DuPont also said on Monday it approved a new 1.5 billion share buyback program.
Reporting by Arathy S Nair in Bengaluru; Editing by Shailesh Kuber
Source Reuters