THE WOODLANDS, TX – Huntsman Corp. and Rockwood Holdings Inc. have entered into a definitive agreement whereby Huntsman will acquire Rockwood’s Performance Additives and Titanium Dioxide (TiO2) businesses. Under the terms of the agreement, Huntsman will pay approximately $1.1 billion in cash and assume unfunded pension liabilities estimated at $225 million as of June 30, 2013.
According to Peter R. Huntsman, President and CEO of Huntsman Corp., the acquisition makes Huntsman the second-largest global producer of inorganic pigments and TiO2 and will give the company a broader product range of color pigments, functional additives and specialty TiO2 pigments.
Rockwood’s Performance Additives and TiO2 businesses include the manufacture and supply of sulphate process TiO2, synthetic iron-oxide and other organic pigments, timber treatment products, and specialty automotive materials. Applications for these products include coatings and inks.
The transaction is subject to regulatory approvals and customary closing conditions and is expected to close in the first half of 2014.