France-based specialty chemicals company Lanxess AG has moved closer to its planned acquisition of U.S. chemical company Chemtura Corp., with Chemtura’s shareholders now having approved the merger.
At a recent meeting in Philadelphia, 99.88 per cent of the votes cast were in favour of the merger, Lanxess said, which represents 81.77 per cent of Chemtura’s outstanding common stock.
Clearance for the acquisition from the U.S. antitrust authorities was already received at the end of December 2016, and Lanxess now expects to close the transaction in mid-2017 after all remaining regulatory approvals have been received.
“We are pleased that Chemtura’s shareholders are so supportive of the planned acquisition,” said Matthias Zachert, chairman of the board of management of Lanxess AG. “Their approval is an important milestone on Lanxess’s route to becoming one of the major players in the field of additives chemistry.”
Flame retardant and lubricant additives are the main components of Chemtura’s business. After closing of the transaction, these two business activities are to be integrated with Lanxess’s Rhein Chemie additives business unit to form a new segment. Chemtura’s portfolio also includes urethanes and organometallics, which will be integrated into Lanxess as well
Lanxess’s purchase of Philadelphia-based Chemtura was first announced in September 2016. The purchase price was approximately US$2 billion.
