Creating a major global specialty chemicals and materials company, Dow Chemical said on April 2 it completed its acquisition of rival Rohm & Haas.
"Our first critical task is to ensure a seamless integration of Rohm & Haas that maximizes the synergies and opportunities offered by this transaction," said Dow CEO Andrew Liveris.
Dow Chemical, the largest U.S. chemical maker, finalized the deal earlier this month to acquire Rohm & Haas for the price originally announced in July, $78 dollars a share, which values the Pennsylvania-based specialty chemicals maker at $18 billion.
The completion came after legal wrangling. Rohm & Haas filed suit against Dow after the chemical giant said it was unable to proceed with the acquisition.
The takeover deal hit turbulence after Kuwait's state-owned Petrochemicals Industries in December scrapped a joint venture with Dow that would have netted the U.S. firm $7.5 billion, citing unfavorable economic conditions due to the global financial crisis. Dow subsequently said it could not meet a January 27 deadline for its takeover, citing "unacceptable uncertainties" on financing.
Under the terms of the settlement deal, the two largest shareholders in Rohm & Haas have agreed to inject up to three billion dollars into the Midland, Mich.-based company by buying preferred and convertible stocks.
Copyright Agence France-Presse, 2009