Potential acquisition may affect National Starch
August 24, 2007
by Jeff Gelski
AMSTERDAM, THE NETHERLANDS — The probable sale of its parent company would bring about changes at National Starch & Chemical Company, which includes National Starch Food Innovation.
National Starch & Chemical Co., Bridgewater, N.J., is a member of the London-based ICI Group, or Imperial Chemical Industries, P.L.C. The ICI board in August unanimously recommended shareholders accept an offer price of 670 pence in cash for each ICI share from Akzo Nobel N.V., Amsterdam. The price per share puts the entire existing issued ordinary share capital of ICI at about £8 billion ($16.1 billion).
Akzo Nobel already has agreed to sell National Starch’s Adhesives division and Electronic Materials division to Henkel, Dusseldorf, Germany, for £2.7 billion ($5.4 billion). Akzo Nobel will evaluate strategic options for the remainder of the National Starch businesses. National Starch Food Innovation belongs to the Specialty Starch business.
The ICI transaction is expected to close in November or December of this year. The sale of National Starch’s Adhesives division and Electronic Materials division is expected to close in the first half of 2008.