Dow Chemical Sells Subsidiary

MIDLAND, Mich. —  Dow Chemical said today it has sold its international financial subsidiary to a Canadian company.

Royal Trustco Ltd. of Toronto has agreed to purchase Dow Financial Services for $168 million, subject to certain adjustments, the Midland-based chemical giant said in a statement.

Dow Financial Services is involved in international merchant banking, with affiliated operations in Switzerland, London, Hong Kong, Singapore and the Cayman Islands, and employs about 800 people, the company said.

“Over the past few years, Dow Financial Services has emerged from a pure investment in a Swiss bank to a successful financial services organization operating on a global basis,” said Enrique C. Falla, Dow Financial Services chairman and a Dow vice president.

“Its divestiture . . . will enable Dow to concentrate its financial activities and resources in full support of the company’s strategies in its basic chemicals and plastics segments as well as its specialty products and service businesses,” Falla said.