Dow Inc. is exploring the sale of its ports in Louisiana and Texas and six railway hubs as it refocuses on chemicals, Bloomberg reports.
The company has tapped a financial adviser to solicit prospective suitors for its Mars unit, a source told the publication, requesting anonymity because the talks are private. A representative for Midland, Michigan-based Dow declined comment.
The company would seek a 25-year contract with the buyer for marine and terminal services—including ones in St. Charles and Plaquemine in Louisiana—that are located near railway lines operated by Union Pacific Corp. Open land and unused tank capacity may also be included in a transaction, Bloomberg reports.
For the potential rail divestiture, Dow wants a similar long-term partner for infrastructure critical to its manufacturing operations at six sites in North America, the publication reports. Plants in Baton Rouge and New Orleans are among those representing the bulk of Dow’s olefins and polyethlene production capacity.