Dow Continues Acquisitions

Dow Chemical(DOW) said on Thursday that its Dow Epoxy unit agreed to acquire three companies to expand its epoxy systems business.

The company agreed to buy UPPC AG in Germany, and POLY-CARB Inc and GNS Technologies here in the US. Terms of the transactions were not disclosed each acquisition is expected to close within 30 to 45 days. These acquisitions are perfectly consistent with Dow's announced strategy to invest in its downstream performance businesses to further distance itself from the cyclical commodity chemicals business. For Dow Epoxy, the acquisitions will accelerate the growth and geographic expansion of its new Dow Epoxy Systems business unit, launched earlier this year.

About the companies(from their websites)

GNS Technologies: Specializes in providing high performance products and customized systems to thermoset polymer markets with a focus on cross-linking polymers such as epoxies, polyurethanes, polyureas, etc. used for civil engineering, industrial maintenance and steel structure coating applications. Additional info about GNS Technologies at www.gnstechnologies.com.

POLY-CARB Inc.: Provides epoxy products and systems in the following industries: highway bridge restoration and waterproofing, parking structures restoration and waterproofing, pavement striping and delineation, industrial floor surfacing and maintenance, corrosion control and tank linings, structural adhesives, and coatings and grouts. Additional info about POLY- CARB at www.poly-carb.com.

UPPC AG: UPPC AG is a leading systems and hardeners supplier deeply seated in the civil engineering, specialty coatings and composites industries, as well as select specialty markets. The company is headquartered in Baltringen, Germany and was established in 1986. Additional info about UPPC AG at www.uppc.de.

Big deal? Not huge but continued affirmation that Dow is on a very disciplined path.

Oh yeah, in case you did not hear it, Dow also declared a dividend of 42 cents per share today (384th consecutive), payable October 30, 2007, to shareholders of record on September 28, 2007. This gives Dow an annual yield at this rate of a solid 4%, nice. Since 1912, Dow has paid its shareholders cash dividends every quarter and has either maintained or increased the quarterly dividend amount throughout that time.