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

Westlake CEO makes case for Axiall

by Alexander H. Tullo
March 14, 2016 | APPEARED IN VOLUME 94, ISSUE 11

Westlake Chemical CEO Albert Chao has penned a letter to Axiall’s shareholders asking them to force Axiall management into talks about Westlake’s proposed $2.9 billion takeover. In January, Westlake made an unsolicited, $20.00-per-share cash-and-stock bid for the rival vinyls maker. Axiall rejected the offer, claiming it was undervalued, even though it was more than twice Axiall’s stock price at the time. In the letter, Chao said a majority of Axiall shareholders have told him they would like to see Westlake negotiate a deal. Chao also lashed out at Axiall’s divestment moves, such as the recently announced sales of plastics additives and vinyl products businesses. Axiall’s annual revenues from these businesses are about $200 million and yet it got only $41 million for them, he noted. “We remain confident that our proposal provides superior value to a stand-alone strategic plan,” Chao wrote.

X

Article:

This article has been sent to the following recipient:

Leave A Comment

*Required to comment