(Reuters) -Dow said on Tuesday it has sold an additional stake in its infrastructure venture to its partner Macquarie Asset Management for $540 million as the chemical maker looks to focus more on its core business. The deal raises Macquarie’s stake in the venture, Diamond Infrastructure Solutions, to 49%, and brings Dow’s total proceeds from […]
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Dow sells additional stake in infrastructure venture for $540 million
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(Reuters) -Dow said on Tuesday it has sold an additional stake in its infrastructure venture to its partner Macquarie Asset Management for $540 million as the chemical maker looks to focus more on its core business.
The deal raises Macquarie’s stake in the venture, Diamond Infrastructure Solutions, to 49%, and brings Dow’s total proceeds from the transaction to about $3 billion.
The announcement is part of Dow’s earlier agreement with the Australian asset management firm, through which they created the venture to be an infrastructure provider to the chemical maker and other industrial customers.
Earlier this year, the company closed a 40% stake sale in some U.S. Gulf Coast infrastructure assets to a fund managed by Macquarie for $2.4 billion.
Dow has been reevaluating its ownership of non-product producing assets across its global portfolio, including power and steam production and pipelines.
Diamond Infrastructure is an infrastructure provider to Dow and other industrial customers at its five locations in Texas and Louisiana.
(Reporting by Pranav Mathur in Bengaluru; Editing by Leroy Leo)