TECHNOLOGY conglomerate Honeywell is spinning off its US$1.3bn resins and chemicals business into a standalone, publicly-traded company.
The new company will be called AdvanSix and is expected to separate by early 2017.
The resins and chemicals business makes Nylon 6 – a polymer resin used to produce fibres, filaments and films used to produce end products across a wide range of sectors including for cars, sports clothing and industrial packaging. Its 350,000 t/y caprolactam plant in Hopewell, US is one of the largest single-site producers of the chemical intermediate, used to produce Nylon 6.
The company also makes ammonium sulphate fertilisers and chemical intermediates, including phenol, acetone and cyclohexanone.
Honeywell CEO Dave Cole said: “Following the spin-off, Honeywell and AdvanSix will each have a more focussed business and be better positioned to invest more in growth opportunities and execute strategic plans best suited to its respective business.”
The decision to spin off the business follows the collapse in March of its US$90bn bid for rival United Technologies. Honeywell walked away following opposition from United Technologies and concerns that the deal would struggle to gain antitrust approval.
The CEO of AdvanSix will be the business’ current general manager Erin Kane.
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