The global purpose-led science-based company, DSM, announced that it has reached an agreement to sell its Engineering Materials business to Advent International and Lanxess for an enterprise value of 3.85 billion euros. The proposed transaction marks the conclusion of DSM’s review of strategic options for its two materials businesses and, following the agreement to sell DSM Protective Materials to Avient Corporation in April, the transformation of DSM into a focused science-based leader in health, nutrition and bioscience.DSM Engineering Materials represented 1.5 billion euros of DSM’s total annual net sales and 334 million euros of DSM’s total adjusted Ebitda for 2021. DSM expects to receive about 3.5 billion euros net in cash following closing, after transaction costs and capital gains tax. DSM Engineering Materials will become part of a newly created joint venture, together with Lanxess’s High Performance Materials business, which will be co-owned by Advent International (60%) and Lanxess (40%). This will create a new global specialty materials company with the focus and investment that can drive the development of customer-focused innovation, in particular for industry’s transition to bio-based and circular solutions. The transaction will create a platform for further growth for DSM Engineering Materials and its people. Completion of the transaction, which is subject to the customary conditions and approvals, is expected within the first half of 2023.