Sinochem offers to buy rubber firm

Sinochem International has offered $177 million for a 30% stake in Halcyon Agri, a natural rubber processor listed on the Singapore stock exchange. Sinochem, a chemical trading firm, has also secured the stake of major shareholders so that it will own at least 54% of Halcyon. In a next step, Halcyon will offer to buy GMG Global, a natural rubber producer that is 51% owned by Sinochem. Halcyon will also acquire Sinochem’s natural rubber processing assets in China and Malaysia. In the end, Halcyon will be the world largest natural rubber supplier with projected annual sales of $2.3 billion, plantations in Africa and Southeast Asia, and 35 processing facilities.