Huntsman Corporation : Hexion Specialty Chemicals Confirms Proposal to Acquire Huntsman Corporation for $27.25 Per Share in Cash
07/04/2007| 11:20am US/Eastern
Hexion Specialty Chemicals Inc., an Apollo Management L.P. portfolio
company, today announced that it has made a definitive proposal to the
Transaction Committee of the Board of Directors of Huntsman Corporation
(NYSE: HUN) to acquire the Company for $10.4 billion (including
refinanced debt), or $27.25 per share, in cash. The offer represents a
premium of approximately 8% over Basell's
previously announced agreement to acquire Huntsman for $25.25 per share
and includes an 8% per annum increase (net of Huntsman dividends) in the
event that the transaction requires more than 9 months to complete.
Hexion's proposal is subject to a customary
merger agreement, which has been submitted to Huntsman's
Transaction Committee together with Hexion's
offer. The transaction would be subject to regulatory approvals and the
affirmative vote of Huntsman shareholders. The proposal is fully
financed pursuant to commitments from Credit Suisse and Deutsche Bank.
Hexion's proposal is currently under review by
the Huntsman Transaction Committee.
About Hexion Specialty Chemicals, Inc.
Based in Columbus, Ohio (USA), Hexion Specialty Chemicals is the global
leader in thermoset resins. Hexion serves the global wood and industrial
markets through a broad range of thermoset technologies, specialty
products and technical support for customers in a diverse range of
applications and industries. Hexion had 2006 sales of $5.2 billion and
employs more than 7,000 associates. Additional information is available
About Apollo Management
Founded in 1990, Apollo is a recognized leader in private equity, debt
and capital markets investing. Since its inception, Apollo has
successfully invested over $16 billion in companies representing a wide
variety of industries, both in the U.S. and internationally. Apollo is
currently investing its sixth private equity fund, Apollo Investment
Fund VI, L.P., which along with related co-investment entities, has
approximately $12 billion of committed capital.
Safe Harbor Language
Statements contained in this press release may include "forward-looking
statements" about the Company's financial results under the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Act of 1934, as amended. Forward-looking statements
are based on our currently available financial, economic and competitive
data and on business plans. Actual results could vary materially
depending on risks and uncertainties that may affect the company's
operations, markets, services, prices and other factors as discussed in
our filings with the Securities and Exchange Commission. These risks and
uncertainties include, but are not limited to, economic, competitive,
legal, governmental and technological factors. There is no assurance
that the company's expectations will be realized. We undertake no
obligation to publicly update or review any forward-looking statement,
whether as a result of new information, future developments or
otherwise, except as otherwise required by law.
Hexion Specialty Chemicals, Inc.
Director, Investor Relations
Verbinnen & Co
Anna Cordasco/Jonathan Gasthalter, 212-687-8080
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