Huntsman announces more concessions to secure EU approval for $1.1bn Rockwood acquisition
2014/08/04

BY CHEMICALS TECHNOLOGY

 

US-based chemical firm Huntsman has announced more concessions to the European Commission (EC), to gain approval for its proposed $1.1bn acquisition of Rockwood Holdings' titanium dioxide pigment business.

The deal, if completed, will make Huntsman a leading sulphate ores processor and the world's second-leading titanium dioxide producer, reported Reuters.

Huntsman's latest set of concessions come after the proposals submitted to the EC in March and earlier this month.

"Huntsman's latest set of concessions come after the proposals submitted to the EC in March and earlier this month."

Details of the concessions have not been revealed, however the agency is set to make a final decision on the deal by 18 September.

A source familiar with the matter was quoted by the news agency as saying that Huntsman's previous concessions include an offer to sell some of the assets and the latest proposal could include the sale of further assets. In March, the EC initiated an in-depth investigation to assess the transaction and raised concerns that the deal could reduce competition for sulphate-based titanium dioxide in the European Economic Area (EEA).

Titanium dioxide is a chemical primarily used for whitening dishes, paper, bathtubs, clothing, toothpaste, cream, cookies and PVC window frames.

In September 2013, Huntsman signed a definitive agreement to buy Rockwood's performance additives and titanium dioxide business.