- Huntsman (HUN +4.6%) is higher in early trading after beginning the process to create a new, publicly traded specialty chemical business next year, filing an initial Form 10 registration with the SEC for the previously announced spinoff.
- HUN expects the new pigments, additives and textile effects company will begin trading on the NYSE sometime during H1 2017.
- The new company will focus on titanium dioxide, or TiO2, which is used as a pigment for various items including food coloring, paints, coatings and sunscreen, but the business is more cyclical than HUN’s other divisions.
- “TiO2 prices are improving and with additional increases expected in the future, the timing of our spinoff should be well positioned,” says HUN President and CEO Peter Huntsman.
- HUN posted a Q3 earnings beat on 10% Y/Y lower revenues of $2.36B.