SK Global Chemical Co. Ltd. is acquiring another portion of Dow Chemical Co. This time it's the firm's polyvinylidene chloride, or PVDC, resins business.
The company issued a statement on the sale to Plastics News on Dec. 18.
“The Dow Chemical Co. has completed the divestiture of its Saran business to SK Global Chemical. The transaction is part of Dow's continued efforts to evaluate and optimize its portfolio of businesses.
“Both Dow and SK Global Chemical believe that Saran has a strong product line and customer relationships and will continue to thrive with its new ownership structure. Saran will continue to manufacture products from its current Midland, Mich., operations,” the statement reads.
“The value of the transaction is not being disclosed,” it continued.
SK Global Chemical, based in Seoul, South Korea, purchased Dow's ethylene acrylic acid copolymers and ionomers business for a reported $370 million earlier this year. That divestiture was in association with the merger between Dow and DuPont.
Saran is used in a variety of packaging applications, including monolayer extrusion, flexible and rigid multilayer extrusion and extrusion coating applications, the company said.
Specific segments include food packaging and wrap, pharmaceutical packaging, unit packaging for hygiene and cosmetic products, sterilized medical packaging and other non-packaging applications, Dow said.
While Dow is selling the Saran resin business to SK Global Chemical, the Saran Wrap brand name is owned by S.C. Johnson & Son. for food wrap. S.C. Johnson acquired the brand as part of its 1997 purchase of DowBrands, a consumer products subsidiary that included the Ziploc and Handi-Wrap brands.