Oct 1 2007
Sealed Air Corporation announced today that it has entered into an agreement under which Sealed Air will acquire certain assets relating to The Dow Chemical Company’s ETHAFOAM™ and related polyethylene foam product lines located primarily in North America and Europe. The assets include a license to process technology, customer contracts, trademarks, and certain production and process equipment sold under the ETHAFOAM™, SYNERGY™, EQUIFOAM™, and ENVISION™ trademarks. In addition, Sealed Air will acquire the rights to the LAMDEX™ trademark. ETHAFOAM™ is a polyethylene foam packaging and specialty brand used in a wide variety of applications, such as transportation, military/defense, automotive and sports & leisure.
Commenting on the prospects of the transaction, William V. Hickey, Sealed Air’s President and Chief Executive Officer, stated:
“The ETHAFOAM™ and related product lines will expand our global presence for our specialty materials business and will provide additional opportunities to target a broad range of end-use applications and customized performance solutions.”
Under the agreement, Dow will supply ETHAFOAM™ and related products to Sealed Air for a period of up to 18 months following the close of the transaction, at which time Sealed Air will commence manufacturing of the products at its own facilities.
The completion of the transaction is expected to take place in the fourth quarter of 2007, subject to certain regulatory approvals. Financial terms of the transaction were not disclosed. Sealed Air does not expect the transaction to be material to its consolidated financial position or results of operations.