Materials strategy
Following the announcement of the sale of our Resins & Functional materials businesses to Covestro AG, our Materials activities now consist of DSM Engineering Materials and DSM Protective Materials. These businesses generated sales of approximately €1.5 billion in 2020, have a strong growth and earnings potential, and are positioned to deliver growth in the strategic area of Sustainable Living. We will continue to develop the Materials business into a more resilient, higher-growth, and high-margin specialty business. Focusing on three Sustainable Living growth platforms — Improved Health & Living, Green Products & Applications, and New Mobility & Connectivity — we aim for mid-single-digit organic sales growth, an Adjusted EBITDA margin greater than 20% and a high single-digit Adjusted EBITDA growth percentage.
Focus on three growth platforms
Our Materials platforms will capture more opportunities in Sustainable Living, propelled by the following growth drivers: winning segments, substitution, innovation and sustainability.
In Improved Health & Living, we are focusing in particular on the growing demand for healthcare, personal protective equipment and medical applications such as specialty materials for medical gowns, respiratory tubes and stents.
In Green Products & Applications, we are focusing on the increasing demand for bio-based, recycled-based, and fully recyclable solutions. The launch of bio-based Dyneema® in 2020 is a good example.
In New Mobility & Connectivity, we are targeting the transition from fossil fuel to electric automotive power and hydrogen-fueled cars. An example is our specialty material Xytron® PPS for high performance fuel cells. We are also addressing the growing need for materials that enable autonomous driving and the increased connectivity between products, devices and applications.
