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Chemical Finance Digest, Feb. 6-10
3:52 PM MST | February 13, 2012 | By VINCENT VALK
Topping the headlines last week, Indorama Ventures has agreed to acquire the chemical assets of Old World Industries for $795 million. The assets include the largest ethylene oxide/ethylene glycol production facility in the U.S. at Clear Lake, TX.
In earnings news, commodity firms, including Dow Chemical and Celanese, reported often-disappointing results due to destocking and European economic weakness. LyondellBasell also swung to a loss on destocking. Specialty firms, meanwhile, generally beat analyst expectations.
In other M&A news, Mexichem agreed to acquire Wavin, a Dutch PVC pipe maker, for $704 million. The deal is expected to close in the first quarter of this year.
In debt news, S&P has raised Rockwood’s credit rating to ‘BB+’ from ‘BB,’ on improvements in the company’s leverage position and financial performance. Rockwood is currently seeking commitments for a $350 million senior secured term loan.
The week ahead will see January’s U.S. industrial production figures released on Wednesday. The consensus forecast is for 0.7% growth, after 0.4% growth in December.