DuPont to divest Aramids business to Arclin for $1.8B, securing cash, equity stake, and strategic focus on growth.
DuPont has announced that it has entered into a definitive agreement to sell its Aramids business to Arclin, a portfolio company affiliated with TJC, L.P. (TJC). The transaction values the Aramids business at approximately $1.8 billion and is backed by fully committed financing. Completion of the deal is anticipated in the first quarter of 2026, subject to regulatory approvals and standard closing conditions.
Upon closing, DuPont expects to receive around $1.2 billion in pre-tax cash proceeds, subject to customary adjustments. In addition, the company will secure a $300 million note receivable and a non-controlling equity stake in Arclin, valued at $325 million, which is projected to represent about 17.5% ownership at closing.
Commenting on the deal, DuPont CEO Lori Koch described the divestiture as an important milestone in reshaping the company’s portfolio. Koch emphasized that the sale strengthens DuPont’s strategic focus and enhances both growth and margin profiles. She highlighted that the transaction is structured to maximize shareholder value by providing significant upfront cash proceeds, which will be reinvested, while also retaining equity participation in Arclin’s future growth. Koch also expressed confidence in partnering again with TJC, citing their proven expertise in operational execution and value creation.
From Arclin’s perspective, the acquisition marks a transformative move. Bradley Bolduc, President and CEO of Arclin, explained that adding Kevlar® and Nomex®—globally recognized brands in high-performance synthetic fibers—will significantly expand Arclin’s scale and reach. He stressed that the enlarged portfolio enhances market development capabilities and strengthens Arclin’s ability to deliver solutions that protect lives, equipment, and critical infrastructure. Bolduc noted that the acquisition aligns with Arclin’s mission of bringing impactful innovations to market, referencing its Firepoint product as an example.
The Aramids business, best known for pioneering and producing Kevlar® and Nomex®, holds a leading global position in synthetic fibers designed for applications where failure is not an option. These fibers are widely used in industries requiring advanced protection, including defense, aerospace, automotive, and industrial safety. With approximately 1,900 employees and five manufacturing facilities, the business reported $1.3 billion in net sales during 2024.
Importantly, DuPont clarified that the Aramids divestiture will not affect its planned separation of its electronics segment, Qnity, which remains on schedule for a spin-off on November 1, 2025.
Advising on the transaction, Centerview Partners and Goldman Sachs & Co. LLC acted as financial advisors to DuPont, with Skadden, Arps, Slate, Meagher & Flom LLP serving as legal counsel. On the buyer’s side, Piper Sandler & Company acted as financial advisor, and Kirkland & Ellis LLP provided legal counsel to TJC and Arclin.
