DuPont de Nemours, Inc. recently completed the separation of its Electronics business into a separate and independent public company, Qnity Electronics, Inc., through a pro rata dividend in-kind of all of the then-issued and outstanding shares of Qnity's common stock to holders of DuPont's common stock. As a result of the separation, the company entered into various agreements and transactions to manage its financial position and obligations.
In connection with the Electronics Separation, Qnity declared a dividend to DuPont of approximately $4.122 billion, inclusive of $22 million of costs related to Qnity's notes issuance on August 15, 2025, plus the pre-funded interest on the Qnity notes through March 31, 2026 of $66 million.
DuPont also announced the commencement of its offers to exchange its outstanding 4.725% Notes due 2028, 5.319% Notes due 2038, and 5.419% Notes due 2048 for new notes. As a result of the completion of the Distribution, DuPont is required to redeem $900 million principal amount of the New 2028 Notes, approximately $226 million principal amount of the New 2038 Notes, and approximately $295 million principal amount of the New 2048 Notes on the Special Mandatory Redemption Date.
The company entered into a transaction support agreement with certain noteholders, resulting in DuPont launching Consent Solicitations with respect to the adoption of certain proposed amendments to the Indenture governing the applicable series of 2038 Notes and 2048 Notes. Additionally, DuPont launched a Tender Offer to purchase for cash up to $739 million aggregate principal amount of the 2048 Notes.
In light of these agreements and transactions, DuPont will have successfully achieved its intended post-Electronics Separation capital structure by repaying approximately $4.0 billion aggregate principal amount of its senior notes, with total refinancing expenses of approximately $168 million.
The unaudited pro forma consolidated financial statements give effect to the Electronics Separation and the intended uses of proceeds and cash on hand. The pro forma Condensed Consolidated Balance Sheet as of June 30, 2025, reflects total assets of $36,559 million and total liabilities of $13,043 million. The pro forma Consolidated Statement of Operations for the six months ended June 30, 2025, shows net sales of $6,323 million and a provision for income taxes on continuing operations of $187 million. The pro forma Consolidated Statement of Operations for the year ended December 31, 2024, indicates net sales of $12,386 million and interest expense of $366 million.
These financial figures illustrate the significant changes and adjustments made by DuPont in response to the Electronics Separation and its financial position and obligations. Today the company's shares have moved -57.77% to a price of $34.485. For more information, read the company's full 8-K submission here.
