US-based Transilwrap has signed a letter of intent to buy Dow Chemical’s specialty films business. The acquisition is expected to close by the end of the second quarter 2016. Financial terms were not revealed.

The Dow business specializes in making blown oriented PS films and co-extruded multilayer barrier and polyolefin films at plants in Hebron, Ohio, USA, and Drusenheim, France. The portfolio includes brands such as Saranex, Procite and Opticite, which are used across various applications, including beverage closure liners, ostomy appliances, window envelope films, labels and protective fabrics.

“Dow’s film technologies, market focus and geographic presence support accelerated growth and global expansion in Transilwrap’s strategic market segments including healthcare and packaging,” said Andy Brewer, president and CEO of Transilwrap.

In November 2013, New York-based private equity firm The Jordan Company, in partnership with the existing management team, acquired Transilwrap as a platform to build a leading global specialty films company.

Transilwrap has 10 manufacturing and converting facilities in North America and 3 in Europe.

The transaction is part of a realignment of Dow Chemical’s production structure ahead of the proposed merger with DuPont.