Boston, MA 04/28/2014 (wallstreetpr) – Chemtura Corp (NYSE:CHMT) has confirmed a revenue growth target of 8-10% in the current fiscal year.
Acquisitions
Chemtura Corporation has acquired 100% stake in DayStar Materials LLC.
Chemtura Corp has ventured into a joint development contract with Caterpillar Inc for application of Chemtura’s Duracast technology for mining and construction.
Strategic decisions
Chemtura Corp (NYSE:CHMT) is selling off its agrochemicals business, Chemtura AgroSolutions, to a global specialty chemicals company, Platform Specialty Products Corporation(Platform), for nearly $1 billion. The sale will be closed with a consideration of $950 million in cash and 2 million shares of Platform’s common stock. The deal is likely to be closed in the second half of the current financial year. Once the deal is completed, Chemtura’s core platform will focus around two lucrative segments; Industrial Performance Products and Industrial Engineered Products.
Chemtura Corp (NYSE:CHMT) has carried out the sale of its Consumer Products business to KIK Custom Products Inc. The deal also includes the company’s dedicated manufacturing units in South Africa and the U.S. The deal has been finalized for an adjusted purchase price of $315 million. The same is subject to some adjustments for assumed pension liabilities and working capital among others. The Company’s board has also decided to explore the possibility of the sale of its agrochemicals business, Chemtura AgroSolutions.
Both these deals aim to deliver a significant short term value to shareholders while further exploring opportunities to create incremental value in global development, manufacture, marketing and sale of specialty chemicals used in the industry. The company is planning to use a significant part of the proceeds from the sale of these two businesses to return capital to its shareholders. The company will also use these funds to continue making strategic investments to further strengthen and facilitate the continuing growth of other businesses and also to pay debts.
Chemtura Corp (NYSE:CHMT) has entered into an agreement to sell of its UV Stabilizers and Antioxidant business to an affiliate of SK Capital Partners. The deal also includes its dedicated manufacturing units in France, Germany and the U.S. The consideration for the deal is $200 million in cash and the assumption of certain liabilities.
