Dow completes purchase of Dow Corning

In a prelude to the merger of Dow Chemical and DuPont, Dow has completed the acquisition of the 50% of Dow Corning it didn’t own from partner Corning. Dow is now 100% owner of Dow Corning’s silicones business, which had sales last year of more than $4.5 billion. It’s also part-owner of Hemlock Semiconductor, a polysilicon producer in which Dow Corning was the majority shareholder. Corning maintains its interest in Hemlock. Folding Dow Corning completely into Dow will yield a minimum of $400 million in annual cost synergies, Dow CEO Andrew N. Liveris predicts, up from the $300 million estimate Dow made when the purchase was announced in December. The merger between Dow and DuPont is now undergoing regulatory review. The companies have said they expect it to be complete later this year, after which the merged firm will split into three new companies. Dow Corning is intended to become part of the materials science company.