DuPont Shares Fall 0.81% Amid Spin-Off Plans $2.5B Bond Fuels Separation as Trading Volume Ranks 389th

DuPont (DD) fell 0.81% on August 11, 2025, with a trading volume of $0.26 billion, ranking 389th in market activity. The decline came amid updates on its planned spin-off of the electronics business into Qnity Electronics, Inc. DuPont and Qnity announced a $2.5 billion bond offering to fund the separation, including $1.5 billion in senior secured notes due 2032 and $1 billion in senior unsecured notes due 2033. Proceeds will be held in escrow until the spin-off, targeted for November 1, 2025, and used to finance a cash distribution to DuPont shareholders and pre-funded interest deposits.

The secured notes will be backed by first-priority liens on collateral aligning with Qnity’s planned credit facilities, while unsecured notes lack collateral. The spin-off requires final board approval, tax opinion, and regulatory clearances but does not need shareholder votes. If the separation is not completed by March 31, 2026, or delayed beyond the escrow release, the notes face mandatory redemption. Both note series will be offered under Rule 144A and Regulation S, without U.S. Securities Act registration.

Qnity, described as a semiconductor-focused technology solutions provider, will operate independently post-spin-off. DuPont emphasized the strategic move aligns with its focus on core markets like transportation, construction, and healthcare. The company also noted recent operational updates, including a $875 million settlement with New Jersey over environmental claims and the suspension of an antitrust probe in China for its Tyvek business.

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