Orica to de-merge consumer products group
Posted
Explosives manufacturer Orica has announced plans to de-merge its consumer products group and list it as a separate company on the Australian stock exchange.
The consumer products group includes British Paints, Dulux, Selleys and Yates.
The company says it will raise about $900 million to try to fast-track its transformation to a mining services business.
Orica's chief executive Graham Liebelt says the move is necessary because the consumer products business has become a relatively small part of the company's portfolio.
"The risk in that is that it gets under-recognised by people looking at our company because frankly, when they look at our company they spend most of their time on the mining sector," he said.
"So the terrific performance we've seen from that company has been potentially undervalued."
