Leverkhausen, Germany – Polyurethane raw materials giant Covestro is splitting its business into two divisions. One will include its speciality businesses, and the other commodity products.
Covestro restructures to sharpen growth focus
The new solutions & specialties segment has six business units: thermoplastic polyurethanes, coatings and adhesives, elastomers, engineering plastics and specialty films. Covestro described them as complex products, with a high pace of innovation. It will continue to offer application technology services for these products.
The performance materials business is built around base chemicals, along with commodity polycarbonates and urethane chemicals. '[These are] standard products at competitive prices,' the company said.
Covestro will start financial reporting in the third quarter of the year.
Covestro’s CFO Thomas Toepfer said that the new structure will help Covestro to make investments where there is greatest return.
CEO Markus Steilemann said: 'We are very serious about sustainability, and we are systematically working towards circular economy. Our new structure forms the foundation for further implementing our strategy.'