Dow Chemical to acquire Rohm & Haas
Dow Chemical has announced an agreement to purchase rival Rohm & Haas in a cash deal worth more than $18bn. It is hoped the acquisition will enhance Dow’s speciality chemicals and advanced materials business, as well providing significant growth opportunities.
Dow Chemical has announced an agreement to purchase rival Rohm & Haas in a cash deal worth more than $18bn. It is hoped the acquisition will enhance Dow’s speciality chemicals and advanced materials business, as well providing significant growth opportunities.
The $78 per share deal has been part financed by the Kuwait Investment Authority and Warren Buffet’s Berkshire Hathaway, in the form of convertible preferred equities of $1bn and $3bn respectively.
“The acquisition of Rohm & Haas is a defining step in our transformational strategy to shape the Dow of tomorrow – a high value, diversified chemicals and materials company, creating the largest speciality chemicals company in the United States with a leading global position in performance products and advanced materials,” commented Dow chairman and ceo, Andrew N Liveris.
Rohm and Haas shares soared from $29.17 to $74 today, while Dow Chemical shares dipped by 3.5% to $32.78.