Makhteshim's share price rose 5.7% by midday.
Makhteshim Agan Industries Ltd. (TASE: MAIN) controlling shareholder Koor Industries Ltd. (TASE:KOR) today announced that the National Development and Reform Commission of China has approved China National Chemical Corporation's (ChemChina) acquisition of Makhteshim. ChemChina is still in the process of obtaining approval of the Ministry of Commerce and the State Administration of Foreign Exchange of China.
Makhteshim's share price rose 5.7% by midday today to NIS 18.60, giving a market cap of NIS 7.7 billion. Koor's share price rose 4% to NIS 82.54, giving a market cap of NIS 3.8 billion.
Koor and ChemChina signed the acquisition agreement for Makhteshim in January. ChemChina will acquire the public's holding and part of Koor's stake in Makhteshim to reach a stake of 60%. Koor will own 40% of the company when the deal is completed. The acquisition was made at NIS 19.93 per share, giving Makhteshim a company value of $2.4 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on March 30, 2011
© Copyright of Globes Publisher Itonut (1983) Ltd. 2011
Globes' correspondent and Koby Yeshayahou