German company to buy Morton International
April 02, 2009
by FoodBusinessNews.net Staff
MIDLAND, MICH. — K+S Aktiengesellschaft, a German-based supplier of fertilizers, plant care and salt products, has entered an agreement with Rohm and Haas, a subsidiary of The Dow Chemical Co., to acquire the stock of Morton International, Inc.
"We are pleased that we reached an agreement with K+S at an attractive value in such a short period of time," said Andrew N. Liveris, chairman and chief executive officer for Dow. "This sale puts us ahead of schedule on our de-leveraging plan post the close of the Rohm and Haas acquisition. It is the first of many steps designed to deliver on our clear and measurable plan to build value for our shareholders."
Dow also just announced it has completed its acquisition of Rohm and Haas. The transaction values Morton International at $1.675 billion, and the transaction is subject to closing conditions and post-closing adjustments.
The sale of Morton International is the next step in Dow’s de-leveraging plan. In this plan, the company has re-negotiated and extended the terms of the Rohm and Haas bridge loan, reduced the dividend by 64% and negotiated for more favorable terms in connection with the Rohm and Haas transaction.