Dow Chemical and DuPont Company both announced shareholders in each company voted in favor of having the two companies merge into an entity which would be called DowDuPont. The Wall Street Journal reports after the initial merger, the companies would then break up into three separate entities.
Just under 825 million Dow shareholder votes were in favor of the deal, while 13 million were against and ten million abstained. A DuPont spokesman says 669 million shares voted to approve the merger, with 8.5 million against and 3 million shares abstaining. The deal needs approval from regulators, and if it’s approved the deal should close later this year. The deal will serve as a way to reduce costs for both companies before they break up into three separate units. Each would deal with specific products like agriculture, material sciences, and specialty products in nutrition and electronics. Each of the new companies would be publicly traded.