Platform Specialty To Buy Chemtura AgroSolutions For $1 Bln In Cash, Stock

(RTTNews) - Platform Specialty Products Corp. (PAH), a specialty chemicals company, Thursday said it has entered into a definitive agreement to acquire Chemtura AgroSolutions or CAS, a provider of agrochemicals and seed treatment products, from Chemtura Corp. (CHMT) for about $1 billion, consisting of $950 million in cash and 2 million shares of Platform's common stock.

CAS has delivered profitable growth and should be immediately accretive by more than 35 percent to Platform's adjusted earnings, pre-synergies.

For the year ended December 31, 2013, Chemtura reported net sales for CAS business of around $449 million and adjusted Earnings Before Interest, Tax, Depreciation and Amortization or EBITDA of $101 million.

The transaction is expected to close in the second half of 2014.