ADVERTISEMENT
2 /3 FREE ARTICLES LEFT THIS MONTH Remaining
Chemistry matters. Join us to get the news you need.

If you have an ACS member number, please enter it here so we can link this account to your membership. (optional)

ACS values your privacy. By submitting your information, you are gaining access to C&EN and subscribing to our weekly newsletter. We use the information you provide to make your reading experience better, and we will never sell your data to third party members.

ENJOY UNLIMITED ACCES TO C&EN

Business

ChemChina Revises Deal To Buy Makhteshim Agan

by Marc S. Reisch
January 10, 2011 | APPEARED IN VOLUME 89, ISSUE 2

China National Chemical (ChemChina) has tentatively agreed to buy Israel’s Makhteshim Agan Industries in a newly negotiated deal with controlling shareholder Koor Industries. The latest pact, which values the generic agrochemicals maker at $2.4 billion, replaces one that Koor, an Israeli investment firm, negotiated in October at a value of $2.7 billion (C&EN, Oct. 18, 2010, page 6). Makhteshim has had a series of setbacks since the first deal was worked out, including a third-quarter loss of $56 million, a strike threat by Israeli workers, and the resignation of the firm’s chairman, Avraham Bigger. ChemChina asked to reopen negotiations in November. Under the new agreement, ChemChina will pay $1.4 billion to buy a 7% stake in Makhteshim from Koor and a 53% stake that is now held by public shareholders. Koor will retain the remaining 40% of the firm. As part of the transaction, ChemChina will also loan Koor $960 million. Koor hopes to close the revised deal by the third quarter of 2011.

X

Article:

This article has been sent to the following recipient:

Leave A Comment

*Required to comment