Dow Chemical to sell ethylene acrylic acid business to S Korea's SK Innovation

Dow Chemical Co yesterday struck a deal to sell its ethylene acrylic acid (EAA) business to South Korea's SK Innovation for $370 million.

The sale is part of Dow Chemical's plan to get antitrust approval for its $59-billion merger with US chemicals maker DuPont Co.

The acquisition, which is being carried out through SK Innovation's unit SK Global Chemical Co Ltd, will include Dow Chemical's EAA business in the US and Spain.

Ethylene acrylic acid is mainly used as an adhesive for wrapping products such as aluminum foil.

"We will continue strategic investments to upgrade our business structure and in the long term we aim to be the leader in high-value added chemicals for emerging markets including China," Kim HyungKun, president of SK Global Chemical, said in a statement.